Bill’s Commentary:
“We told you it was all about credit, you will soon see this to be true…”
Deutsche Bank Dumps After Flagging $30 Billion Exposure To Private Credit
Yet another canary in the ever growing coalmine that is private credit appeared this morning as Deustche Bank’s annual report flagged a significant €26 billion ($30 billion) exposure to private credit, an asset class that’s grappling with fund redemptions, scrutiny of underwriting standards and the impact of AI on some borrowers such as software makers.
As the slow-motion train-wreck gathers steam (most recently with Morgan Stanley, Cliffwater, and BlackRock gating investors in their private credit funds), investors are searching various financial entities balance sheets for exposures with the giant German lender itself warning:
“Failures of a select number of sub-prime lenders in the U.S. increased investor focus on risks associated with private credit and raised wider concerns around underwriting standards and fraud risk.”
Bill’s Commentary:
“Again, it is ALL about credit!”
Failed German 10 Year Government Bond Auction is a ‘Canary in a Coal Mine’
This is a short, but important article.
Short because there is not a ton of info out ‘there’ about the actual particulars of yesterday’s German Government bond auction.
Important, because when a 1st world sovereign power can’t sell enough debt to cover its stated needs, a canary just died in the coal mine-so to speak.
The publications of investing.com, gotrade.com and Bloomberg have articles up about the German Gov’t bond offering of one day ago. And yes, the war does have something to do with inflation and rates going up a bit. The above articles reported the rate of the new bond, but not much else. Big deal.
Bill’s Commentary:
“I disagree with Erik on this one. I believe he is wrong in the short run but right in the long run, but for different reasons. Iran is getting the snot beaten out of them currently and there may not be much left afterwards. The US on the other hand, has given the world quite a display of ordnance use. But what will happen should there be a problem elsewhere such as Taiwan? Have we spent too much ammo or unveiled previous unseen weaponry? Not to mention the world coming together in BRICS fashion which destroys the dollar. I believe Ron Paul is correct, this “excursion” may very well be exposure the dollar cannot handle?”
The latest from Erik –
BillHolter.com 
G’day Bill I have been trying to contact you but via google unable to connect.
Some years ago upon Jim’s recommendation I placed some physical with SGPMX – Now I read SGPME (is it the same outfit /) are in trouble.
Would appreciate to hear any comments you have.
As always many thanks your many contributions.
Best Ozzie Pete
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Iran is getting the snot murdered out of them you mean.
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How does anyone know Iran is getting the snot beaten out of them? Except maybe a general in the bowels of Centcom Intelligence, who won’t say? Just no way for us chickens to know this. Certainly the criminal state of Israel is getting hammered because we’ve seen the videos. But Iran? No views at all. I suspect they are doing much better than the genocidal maniacs in Israel who believe God wants a Greater Israel and America out of the Middle East.
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Thank you pamelamoves@gmail.com
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