If you are looking for a black swan event that could plunge the weak US economy into a full-blown recession, Brexit could be it.
Big US banks have already taken brutal losses over the last year.
Bank of America has more than $2.1 trillion in assets. Bank of Amerca’s stock has plunged -20% from a year ago.
Citigroup has more than $1.8 trillion in assets. Its stock is down a shocking -23% over the last year.
Wells Fargo’s has more than $1.8 trillion in assets. Its stock has crashed more than -15% over the last 12 months.
Major banks in the U.S. are in trouble as a result of years worth of low-interest rates. The Federal Reserve has been trying its best to raise rates to prop up falling bank profits.
With so many U.S. banks on the edge of the precipice, a Brexit could push them over the edge.
Daboo7 talks about how Deutsche Bank was caught illegally manipulating the price of gold.