« on: September 26, 2016, 11:23:04 PM »
Pushed along by Deutsche Bank. A BIG one in Germany, if not the big one. Germany is the banking foundation in Europe.
This is just part of the article. PITA to copy it all over so click to go read the rest.
Nemo
https://www.ft.com/content/c882de4e-83c1-11e6-a29c-6e7d9515ad15Deutsche Bank denies seeking help from Berlin over DoJ
Share price hits lowest levels in more than three decades
9 hours ago, by: James Shotter in Frankfurt and Laura Noonan and Thomas Hale in London
Deutsche Bank has denied seeking assistance from Berlin and said it had no plans for a capital increase after investors attacked the embattled bank, sending its share price to its lowest levels in more than three decades.
Germany’s biggest bank closed down more than 7 per cent on Monday, pushing its shares to their lowest level since 1983 despite the bank’s denial of German media reports that it had sought support from Berlin in its regulatory fight with Washington — and been turned down.
Deutsche has seen its shares fall 55 per cent in the last year amid persistent questions about its financial health, concerns that have been compounded by the US Department of Justice’s recent demand for $14bn to settle allegations of mis-selling mortgage securities.
The bank has said it will not pay anywhere near that figure, which is close to its total market capitalisation of $18bn, and on Monday insisted that its chief executive, John Cryan, had “at no point” asked Angela Merkel, the German chancellor, to intervene in the stand-off with the DoJ.
The report by the German magazine Focus also said Ms Merkel had ruled out a Deutsche rescue ahead of 2017’s German elections.
“This question [of a government rescue] is not on our agenda: Deutsche Bank is determined to meet the challenges on its own,” said Jörg Eigendorf, Deutsche’s chief spokesman. “The question of a capital increase is currently not on the agenda, we comply with all regulatory requirements.”
Investors were not swayed by the denial, and the Deutsche concerns helped drag down the rest of the European banking sector, with Commerzbank closing down 3.7 per cent, UniCredit down 3.5 per cent and BNP Paribas down 3.1 per cent.
Investors remain nervy about Deutsche’s capital position, particularly as reports emerged of delays to the sale of the bank’s stake in Huaxia in China. The Chinese sale would lift Deutsche’s 10.8 per cent common equity tier one ratio by 40 basis points, bringing it closer to the 12.59 per cent average ratio across Europe’s top 10 banks by market value.
Click above and go read the really juicy stuff.
« Last Edit: September 26, 2016, 11:24:40 PM by Nemo »
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If you need a second magazine, its time to call in air support.
God created Man, Col. Sam Colt made him equal, John Moses Browning turned equality to perfection, Gaston Glock turned perfection into plastic fantastic junk.
