If you have been waiting for “the next Lehman Brothers moment” which will cause the global financial system to descend into a state of mass panic, you might want to keep a close eye on German banking giant Deutsche Bank. It is approximately three times larger than Lehman Brothers was, and if the most important bank in the strongest economy in Europe were to implode, it would instantly send shockwaves rippling across the entire planet. Those that follow my work regularly know that I started sounding the alarm about Deutsche Bank beginning last September. Since that time, the bad news from Deutsche Bank has not stopped pouring in. They announced a loss of 6.8 billion euros for 2015, Moody’s just downgraded their debt to two levels above junk status, and they have been plagued by scandal after scandal. In recent months they have gotten into trouble for trying to rig precious metal prices, for committing “equity trading fraud” and for their dealings in mortgage-backed securities. The following comes from Zero Hedge…
A month after admitting to rigging precious metals markets, Deutsche Bank has been hit with a double-whammy of more alleged fraudulent behavior today and the stock is sliding. First, Reuters reports that the bank took a charge of 450 million euros for “equity trading fraud,” and then Bloomberg reports that The SEC is looking into Deutsche’s post-crisis mortgage positions.
This is a bank that is steadily bleeding money, and so the last thing that it needs is for government agencies to be putting immense pressure on it. Unfortunately for Deutsche Bank, the SEC seems determined to kick it while it is down…
Troubled Wall Street giant Deutsche Bank is under another investigation, this time by the Securities and Exchange Commission regarding the pricing and reporting of certain mortgage-backed securities.
The SEC wants to know whether the Frankfurt, Germany-based bank artificially raised the value of mortgage-backed securities in 2013 and later hid those losses for an extended period of time, Bloomberg first reported, citing people familiar with the matter.
But even if there were no scandals and no government investigations, the truth is that Deutsche Bank would be a deeply troubled bank anyway.
At one point, it was estimated that Deutsche Bank had 64 trillion dollars worth of exposure to derivatives contracts. That is an amount of money that is approximately 16 times the size of the GDP of the entire nation of Germany.
So nobody wants to see Deutsche Bank fail. It would be a financial disaster unlike anything the world has ever experienced before.
But right now things are not looking good. As you can see from this chart, the steady decline of Deutsche Bank’s stock price is eerily similar to what happened to Lehman Brothers during the months leading up to the time when it finally completely collapsed…
Deutsche Bank Lehman Brothers – Zero Hedge
Earlier this year, Deutsche Bank’s stock price set a new record low, and since that time it has been hovering just above that record low.
Clearly it is no secret that Deutsche Bank is having big problems, and the outlook for the immediate future is not good. I included the following quote from Berenberg analyst James Chappell in a previous article, but I think that it bears repeating…
Too many problems still: The biggest problem is that DBK has too much leverage. On our measures, we believe DBK is still over 40x levered. DBK can either reduce assets or increase capital to rectify this. On the first path, the markets do not exist in the size nor pricing to enable it to follow this route. Going down the second path also seems impossible at the moment, as the profitability of the core business is under pressure. Seeking outside capital is also likely to be difficult as management would likely find it hard to offer any type of return on new capital invested.
In the end, I believe that Deutsche Bank will ultimately implode, but it won’t be the only one.
Meanwhile, we just got some more very disturbing news out of Asia. According to Bloomberg, Japanese exports have now fallen for seven months in a row…
Japan’s exports fell for a seventh consecutive month in April as the yen strengthened, underscoring the growing challenges to Prime Minister Shinzo Abe’s efforts to revive economic growth.
Overseas shipments declined 10.1 percent in April from a year earlier, the Ministry of Finance said on Monday. The median estimate of economists surveyed by Bloomberg was for a 9.9 percent drop. Imports fell 23.3 percent, leaving a trade surplus of 823.5 billion yen ($7.5 billion), the highest since March 2010.
When your imports are 23 percent lower than they were a year earlier, that is a clear sign that consumer demand is way, way down and that your economy is in the process of imploding.
So I will repeat what I have said a number of times before…
Watch Germany and watch Japan.
I believe that they are going to be two of the biggest stories as this new global financial crisis begins to play out.
Author: Michael Snyder
Michael Snyder is a former Washington D.C. attorney who now publishes The Economic Collapse Blog and End of the American Dream. Michael and his wife Meranda believe that God is raising up a Remnant in these last days (Revelation 12:17; Revelation 14:12) that will bring in the greatest move of God the world has ever seen and the greatest harvest of souls the world has ever seen.
http://www.zerohedge.com/news/2016-06-03/deutsche-bank-atms-block-cash-withdrawal-due-technical-glitch
Michael I just watched your powerful message on the Jim Baker show this morning.
I enjoy reading Michael Snyder’s, “End of the American Dream”. Where David Wilkerson said in his 1992 prophecy, ” Indeed, if America rejects God’s call to turn back to Him, we’ll face the same judgments Israel faced.”, God has also led me to understand the same. God Bless
can anyone find more credible source of info : paris is currently under chaos
https://www.superstation95.com/index.php/world/1369
Michael:
We all Need To Go Back READ and STUDY David Wilkerson’s Prophecies:
If ever there was a PROPHET OF ALMIGHTY GOD – I BELIEVE DAVID WILKERSON Was in that select group.
http://americaslastdays.blogspot.com/p/david-wilkerson-economic-collapse-then.html
Also, in a YOUTUBE Video he (David Wilkerson) tells the County(ies) where the Economic Collaspe will start first – and, Maybe it was Germany – But then I think it was Mexico. Need to go look at the video again!
Be Blessed Z3’ers!
David Wilkerson Economic Collapse then A Russian Invasion
David Wilkerson had a series of visions and angelic visitations from the lord during his life time until his death in 2011, about the coming collapse of the U.S. economy and the destruction of America. In the economic collapse there will be riots and fires all across major cities in this nation. This will be a time of great apostasy and persecution in the church like never before. After the economic collapse of the United States the nation will be at its weakest point. A hydrogen holocaust will then sweep this nation in a Russian invasion of America. When Israel sees the destruction of America Russia will try to invade the Holy Land where 5/6th of the army’s of Russia will be destroyed by Jesus himself.
David Wilkerson Prophecy 1973
“Worldwide recession caused by economic confusion”
“At most a few more fat flourishing years, and then an economic recession that’s going to affect the life style of every wage-earner in the world. The world economists are going to be at loss to explain what’s happening. It’s going to start in Europe, spread to Japan and finally to the United States.”
There will be a move toward a worldwide, unified monetary system. The US dollar will be hit bad and it will take years for it to recover.
The only real security will be in real estate (until a somewhat later stage, at which point this apparent security will also disappear).
“Nature having labor pains”
Environmentalists will come under heavy criticism.
There will be major earthquakes.
There will be a major famine.
Floods, hurricanes and tornadoes will increase in frequency.
“A new kind of cosmic storm appearing as a raging fire in the sky leaving a kind of vapor trail.”
“A flood of filth and a baptism of dirt in America”
Topless women will appear on television, followed by full nudity.
Adult, X rated movies will be shown on cable television. Young people will gather at homes to watch this kind of material in groups.
Sex and the occult will be mixed.
There will be an acceptance of homosexuality, and the church will even say that it is a God-given gift.
“Rebellion in the home”
“I see the new number one youth problem in America and the world as hatred towards parents.”
“A persecution madness against truly Spirit filled Christians who love Jesus Christ”
There will arise a world church consisting of a union between liberal ecumenical Protestants and the Roman Catholic Church, using Christ in name only.
There will be a hate Christ movement.
There will be a spiritual awakening behind the Iron and Bamboo Curtains.
Others
There will be another wave of riots.
There will be a fall in moral conduct.
There will be a new drug that will be popular with teenagers that will break down resistance and will encourage sexual activity.
Homosexual and lesbian ministers will be ordained and this will be heralded as a new breed of pioneer.
There will be nude dancing in church, but this will never be widespread.
There will be occult practices in churches.
David Wilkerson Prophecy 1985
America is going to be destroyed by fire! Sudden destruction is coming and few will escape. Unexpectedly, and in one hour, a hydrogen holocaust will engulf America and this nation will be no more. It is because America has sinned against the greatest light. Other nations are just as sinful, but none are as flooded with gospel light as ours. God is going to judge America for its violence, its crimes, its backsliding, its murdering of millions of babies, its flaunting of homosexuality and sadomasochism, its corruption, its drunkenness and drug abuse, its form of godliness without power, its Luke warmness toward Christ, its rampant divorce and adultery, its lewd pornography, its child molestations, its cheating, its robbing, its dirty movies, and its occult practices.
An attack from Russia, and “The great holocaust follows an economic collapse in America.
David Wilkerson Prophecy 1992
Thirty days of chastisement will fall on New York City such as the world has never seen. God is going to let down the walls. There will be unimaginable violence and looting. The violence will be so ferocious, it will shock the whole world. Our streets will be lined, not just with the National Guard, but with militia. A thousand fires will burn at the same time throughout the city. The Los Angeles fires were confined to a few sections of that city, but New York will be ablaze in all its boroughs. Fire trucks will not be able to handle it all. Trains and busses will be shut down. Billions of dollars will be lost. Broadway shows will stop completely. Businesses will flee the city in an unstoppable hemorrhage. Such things are expected in Third World countries, but not in a civilized nation like the United States. Yet, in not too long a time afterwards, New York City will go completely bankrupt. The Queen City will be cast into the dirt, becoming a city of poverty. What I saw coming will be much more severe. Indeed, if America rejects God’s call to turn back to Him, we’ll face the same judgments Israel faced. And they will hit not only New York but also every region in the country. Even the heartland won’t be spared. The nation’s economy will collapse, and violence will erupt. Fires will consume our cities, and tanks will rumble through the streets. pray that God would give our President the same spirit that Josiah had, to tremble at his Word.
David Wilkerson Prophecy 2009
An Earth-Shattering Calamity is About to happen. It is going to be so frighting. We are all going to Tremble, even the godliest among us.
For ten years I have been warning about a thousand fires coming to New York City. It will engulf the whole megaplex, including areas of New Jersey and Connecticut. Major cities all across America will experience riots and blazing fires such as we saw in Watts, Los Angeles, years ago in August, 1965. There will be riots and fires in cities worldwide. There will be looting — including Times Square, New York City. What we are experiencing now is not a recession, not even a depression. We are under God’s wrath
Amen Paul Morgan;
Brother Wilkerson was a true man of God if there ever was one. I love his vision of the end-time Church. I have it posted on my site if you would like to read it. It’s called The Last Revival; and it is an awesome word!
http://www.paulbenson.me/prophetic-words1.html
Blessings
Paul
Hi Michael. I just finished reading a post on Pat Flynn’s Smart Passive Income site about repurposing a blog post and then I read your article here (I read it on Theeconomiccollapsebog.com). Fun to see how the Lord is leading. After your interview with Rick Wiles about your The Rapture Verdict I also posted on my site “What’s This About A Rapture?” http://www.befoundfaithful.com/what-s-this-about-a-rapture-.html Good to see you here.
David H.;
I went to your site and read the post. Although I share your desire to see unity in the Body of Christ, I greatly disagree with the means to accomplish this you have suggested in your post. Since you have no comment section enabled I shall comment here.
According to your post I should stop speaking out against the error of the pre-trib rapture theory to promote unity with those who have a differing opinion. REALLY DAVID? The erroneous teachings of the pre-trib theory are DAMAGING the Body of Christ! And I should not address this issue because it might upset a chorus of Kumbaya? Is that a love for the truth, or a love for peace and quiet?
Should I stop preaching against the falsehood of the prosperity deceivers so I can have unity with those teaching that garbage also? And let the deceived remain in bondage?
Should I also stop preaching a warning of the dangers of habitual sin, and the damage it does to a heart of faith, so I can get along with those who preach the hyper-grace live any way you want because you cannot lose your salvation falsehood? And leave the deceived in that bondage also?
Should I stop preaching on the errors of the J.W., Mormon. and other cults so I can find ‘common ground’ with them? Promote some religious unity, make some religious buddies? And leave them lost in their bondage (but wonderfully unified)?
Brother, there is a word that describes unity attained at the expense of the truth, That word is COMPROMISE! To have a love for the truth is to hate every false way. We are called to lift up a standard of truth, not zip our lip lest we offend those who have no appetite for truth. We should not go out of our way to offend people, but we need to realize that: Truth sanctifies whereas error defiles. Should we leave those who are wayward in their beliefs to linger in the defilement of false teaching so we can have it more peaceful?
In your post you suggested that the Scriptures promote all three views (pre-, mid-, and post-trib) of Christ’s return. I find that comment very disturbing. I ‘m sorry, but the truth is NOT multiple choice! Jesus promised that the Holy Spirit would lead us into ALL truth, but you in your post said it’s not possible to discern the truth about the timing of Christ’s return from the Scriptures. Who should I believe? You do not get a pre-trib or mid-trib theology from the Bible, you get it from man. The Scriptures do NOT teach a prior event, man does. They do not teach a secret coming, man does. They do not teach TWO comings, man does. They do not teach an ‘imminent return’, man does.
You made a comment at the end of your post that I very much agree with. YOU SAID: Out of respect for the King of Kings, we should allow all Scriptures to speak for themselves and lead us to conclusions instead of forcing Scripture to conform to our perspective.
I made up my mind years ago to follow exactly that approach to God’s Word. I base my beliefs on what is PLAINLY and CLEARLY stated in Scripture, and this approach to learning doctrine led me to believe the way I do concerning Christ’s Coming. It is plainly stated in God’s Word every eye shall see his Coming, and that the resurrection of the Just takes place at the Second Coming immediately AFTER the tribulation. Any other theory is an invention of man.
May the Lord lead us all into his perfect truth,
and TRUE UNITY;
Paul Benson
Hi Paul, I have a comment section and welcome comments. Click on the link that says click to enable comments. I encourage everyone to do only as the Lord leads. Contrary to what you may think I do not have an agenda and the last thing I would advocate is compromise. If you are called to preach against pre-trib, that is between you and God. And in no way is what we believe in God’s word a matter of multiple choice. The main focus of the post is be ready. It must be nice to have everything figured out but if you cannot figure out how to leave a comment, you should consider you may be missing the point of the post.
Hello David;
Yes I see the link now up at the top of the page. My mistake there. Maybe it would be helpful to others if the link were at the end of a post where a person makes the decision to comment or not. You may be missing some replies with the current format. Just a thought.
Moody’s just downgraded Deutsche Bank’s rating to near-junk bond status: Link: http://investmentwatchblog.com/deutsche-bank-ag-moodys-downgrades-deutsche-banks-ratings-only-two-notches-above-junk-its-post-crisis-mortgage-positions-are-being-probed-by-sec-halts-some-bonus-payments/
Now, Deutsche Bank depositors are having trouble withdrawing their money, and hacking is suspected as being the cause:
http://www.trunews.com/deutsche-bank-atm-failure/
I think there may be more to the Deutsche Bank story than we are being told. At first DB had no response to the customer complaints and then later came up with the software glitch.
We all know that DB is in trouble (90 trillion in derivatives). The word is that the IMF has capped their loans… creating a capital/liquidity problem. This is why DB is paying 5% for deposits when other banks are still almost 0%. The cards did not work because they are running out of money.
Guessing here… but I think DB has been picked as the bank to trigger the global reset. I also think the big drop in the dollar today had more to do with helping DB and the Euro than the jobs report. They are not quite ready to pull the trigger.
David Wilkerson prophecy will soon be fulfilled.
I agree. This one is going to keep me up.
One of the reasons I knew the “crash” of 2008 was coming was because Citi lowered their daily ATM withdrawal limit to $300/account/day (due to *cough*security*cough reasons).
Outright stopping of cash going out the door is a sign of utter panic and desperation.
You wrote something I don’t understand: “IMF has capped their loans.” The only way the IMF would have anything to do with this is if they failed to grant loans to DB’s debtors. (E.g., Greece didn’t get money from the IMF, so they cannot service the sovereign Greek debt held by DB, or something along those lines.) Is this what you mean?
DB can always issue debt (albeit at a higher cost, due to their credit downgrade), and they can just outright dilute shareholders by issuing more shares. Neither of these have anything to do with the IMF, though.
Dean… I am not sure exactly how to word it. I think the ECB has imposed tighter printing limits. I also read that DB had met with the major US banks seeking help on derivatives but no inter-bank relief was provided. The bad investments are cutting their liquidity and nobody is willing to bail them out.
Interesting point, Wiley. DB offering 5% interest on deposits when other banks are near 0%, or even giving depositors a haircut like Cypress, almost reminds me of how Bernie Madoff kept offering those crazy “guaranteed” 15% ROI on his ponzi-scheme King Arthur Fund. This of course, created an investment frenzy with billionaires fighting to get a piece of the action. Meanwhile the whole house of cards was collapsing and just about every investor lost their shirt while Bernie went to jail. Now with DB’s huge derivative exposure ready to blow up the worldwide economy, this is going to make Madoff’s scam look like a lemonade stand going belly up in comparison.
Is something pointing to this date, today May 25th?
As I stated on another thread, this is the 1-2-3 financial implosion prophecy by David Wilkerson…
Germany…Japan…USA
Thanks, Michael. I always like reading your articles.
Wayne, actually, if you listen to multiple Wilkerson messages on the economy and read his books, it looks like the sequence is roughly:
1. Germany
2. Japan + at about the same time, at least one large South American country along with Mexico
3. The U.S.
What Wilkerson has said also is that as SOON as Germany falls, immediately get your money out of paper and, I believe, into physical goods (metals, food, etc.) He said a lot of Americans will falsely believe that the U.S. will be able to withstand the fall of the first European country (which in an audio message he identifies as Germany). Wrong. He said this will be the beginning of what he calls “economic confusion.”
Frank,
I remember listening to audio recordings of David Wilkerson. I haven’t read any of his books, but I’m sure they would be interesting.
Thanks
Read “The Vision.” Wilkerson talks all about the coming economic collapse, along with other prophetic events the Lord showed him would happen in the future.
Only thumbs up for you Michael ! Lines up with what David Wilkerson has stated.
Michael–love your zeal and passion for what the Lord has you share. You have been a guest in our living room many mornings on the Jim Bakker Show. You get a lot said in a period of time and speak in a language that I can understand.
Will be buying your new book, “The Rapture Verdict” and reading it to our Pastor. When do you think we might see the dreaded “Bail-Ins”? After Memorial Day?
Michael, great article. I am short on DB and several other large banks. thankyou for sounding the alarm and helping others see things more clearly. God bless you and your wife.
Ed or James or anyone: Are you buying put options on DB or is there an ETF that tracks inverse to DB stock? I didn’t see DB in FAZ that tracks the Russell 1000 index. What are some other ways to short DB and BOA? Thx
Ole,
I have put on DB July 15 for strike at 55.
Right now they are cheap. But I think July might be too early some seem to think sept. When the markets go down on this first slide. I think these will go up. Then I will sell and buy back when the market starts going up again for sept. I also have BAC for July at $11. Same advice on that one. I hope this has helped. The banks have gone opposite of what I thought the timing would be. Just last week I was up almost 50% should have sold. Now I’m down about 60%.
Thx Ed.
Thx.
I’m looking at these:
BAC, Bank of America Corp;
DB, Deutsche Bank;
JPM, JP Morgan Chase
Ole those are the three I have. I bought a few more today . BAC is only .03 cents. JPM is about .22 and JPM is .25 that’s about half what they were last week.
I avoided Deutsche Bank puts because the prices are already jacked up way too high to get decent leverage. I bought BAC puts very cheap. You can get them right now for about 2 cents per share.