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fromtheuk

05/24/19 3:19 PM

#762 RE: Doubledown75 #761

I understand, my question was the importance of $6.50 stock price in relation to those Derivatives. I don’t believe there is a link, if there is, I have missed it.

Derivatives fail when a party cannot cover the loss, then the bank is liable. 0.001% doesn't come close to covering that risk.

A few months back, when we were worrying about an Italy default, that’s exactly what could have happened. Italy, for now is in better shape. Brexit / new EU elections could destabilise the EURO all over again. We will see.

Doubledown75

05/24/19 3:24 PM

#763 RE: Doubledown75 #761

Maybe chartists seem to think that $6.50 level is final support, idk?
But if DB defaulted, those derivatives are in every financial transaction you could think of. Central banks would have difficulty dealing with it I would think.
AnywYs happy Memorial Day weekend