Thursday, September 29, 2016 11:02:42 AM
I've read where several of Italy's big banks are in worse shape than DB. I'm not sure how intertwined they are with DB and how DB's problems would act on them.
Also, not only would we see interbank contagion if DB's problems morph, but we also could see a lot more pressure put on the Euro as a legit fiat currency. Many more Euros would have to be made out of thin air to keep DB afloat. Europe is essentially bankrupt and Germany was the last country standing to keep the European Union operating. How will DB going down affect that dynamic?
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