Neoliberal cannibalism: free market fundamentalists start a transatlantic civil war
Finally, it is more than obvious. The banking/corporate transatlantic civil war has started, with highly uncertain results. Furthermore, this is probably the best proof that the banking/corporate crony establishment has completely taken over the institutions, which are now being used for its inner war:
“Just a few weeks after the EU slapped Apple with a $14 billion bill for ‘back taxes,’ the U.S. has apparently responded with a $14 billion fine of their own to Deutsche Bank to settle an outstanding probe into the company’s trading of mortgage-backed securities during the financial crisis. According to the Wall Street Journal, the proposed settlement would be largest fine paid by any of the banks related to similar charges. Unfortunately for DB, the fine is roughly equal to it’s entire market cap and the stock is plunging nearly 8% in after hours trading.” [zerohedge]
Recall that, according to the US Financial Crisis Inquiry Commission (FCIC) report, Merrill Lynch and Citigroup together with Goldman Sachs, are those responsible for the “creation” of 30% of the destructive financial “tools” known as CDOs during 2004-2007, which contributed significantly to the creation of the housing bubble in US. Two more banks which had significant presence in CDOs that time are Deutsche Bank and UBS.
The two most obvious questions one could ask immediately here is, 1st: why the US authorities waited more than five years since the FCIC findings to fine Deutsche Bank? and, 2nd: why they actually ignored the other US megabanks that played the most crucial role in the 2007-08 financial crisis? Note that, Elizabeth Warren recently demanded some answers about this issue.
The most obvious answer is that the transatlantic war between the US banks/corporations and (mostly) the German ones (that actually control the EU through the German sado-monetarists), is taking place for a few years now, probably on the occasion of the transatlantic agreements and especially TTIP. Therefore, the US banking/corporate establishment was holding the card of Deutsche Bank involvement in the financial crisis, in order to use it if and when would be necessary.
Note also that recently, Germany’s Economy Minister Sigmar Gabriel stated that “In my opinion, the negotiations with the United States have de facto failed, even though nobody is really admitting it,”.
He also accused the US of being “angry” about the deal that the EU struck with Canada, known as CETA. He said US officials believe that CETA contains elements that Washington does not want to see in the TTIP, AP reported. “We mustn’t submit to the American proposals,” said Gabriel, who is also Germany’s Vice Chancellor and the head of the country’s center-left Social Democratic Party.
Also, the response of the US authorities comes at a time where Deutsche Bank is significantly exposed to derivatives worth trillions.
The survivors of this war will re-write the transatlantic agreements according to their interests. Then, they will try to pass them through a new round of intense lobbying on controlled politicians. People must continue to fight against these agreements created by the neoliberal “jihadists”, until the final victory.
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