Deutsche Bank

Deutsche Bank shares tumbled on Friday after the cost of insuring the bank's debt against the risk of default shot to more than four-year highs.

Its 7.5% Additional Tier-1 dollar bonds fell nearly 6 cents to 70.054 cents on the dollar, pushing the yield up to 27%. Deutsche shares, which have lost more than a fifth of their value so far this month, fell by as much as 14.9% on Friday to their lowest in five months. The shares were last down 13% at 8.13 euros ($9.16).

European banks have had a rough ride in the last week with a state-backed rescue of Credit Suisse and turmoil among regional U.S. banks fuelling concerns ...

[Sensex](https://economictimes.indiatimes.com/indices/sensex_30_companies)and [Nifty](https://economictimes.indiatimes.com/indices/nifty_50_companies)Track [latest market news](https://economictimes.indiatimes.com/markets/stocks), [stock tips](https://economictimes.indiatimes.com/markets/stocks/recos)and [expert advice](https://economictimes.indiatimes.com/markets/expert-view)on [ETMarkets](https://economictimes.indiatimes.com/markets). Separately, Deutsche Bank said it would redeem $1.5 billion in a set of tier 2 notes due in 2028. The index was last down 2.1%, heading for a monthly decline of 17%. For fastest news alerts on financial markets, investment strategies and stocks alerts, [subscribe to our Telegram feeds](https://t.me/joinchat/J60pKE7SOStsj5sI8nDmHQ).) "Deutsche Bank has been in the spotlight for a while now, in a similar way to how Credit Suisse had been," Stuart Cole, head macro economist at Equiti Capital, said. European banks have had a rough ride in the last week with a state-backed rescue of Credit Suisse and turmoil among regional U.S. [India’s Return to Normalcy has a Price & Households are Paying It](/epaper/delhicapital/2023/mar/24/front-page/indias-return-to-normalcy-has-aprice-households-are-paying-it/articleshow/98952658.cms) [Vedanta Likely in Talks to Sell 10% in India Unit](/epaper/delhicapital/2023/mar/24/front-page/vedanta-likely-in-talks-to-sell-10-in-india-unit/articleshow/98952663.cms) [Sebi Set to End Permanent Board Positions](/epaper/delhicapital/2023/mar/24/front-page/sebi-set-to-end-permanentboard-positions/articleshow/98952655.cms) . That yield is more than double what it was just two weeks ago, based on Tradeweb data. [index](/definition/index)of European banks - which does not include shares of Credit Suisse or UBS - has seen one of its most volatile weeks of trading in a year. Some of Deutsche Bank's bonds meanwhile sold off too.

The sharp fall in Deutsche Bank shares highlights fear among investors about the overall stability of the European bank.

Follow us on [also read] [World](https://www.firstpost.com/category/world) [Inside story of how and why Credit Suisse went down](https://www.firstpost.com/world/inside-story-of-how-and-why-credit-suisse-went-down-12327142.html) This week’s trading was one of the most volatile in a year. Meanwhile, some bonds of Deutsche Bank were also sold off. London: Banking crisis now appears to blow out big in Europe as Deutsche Bank shares tumble over 14 per cent on Friday. [World](https://www.firstpost.com/category/world) [Biden calls for tougher penalties for execs of failed banks](https://www.firstpost.com/world/biden-calls-for-tougher-penalties-for-execs-of-failed-banks-12311212.html) [Latest News](https://www.firstpost.com/), [Trending News](https://www.firstpost.com/author/trendingdesk), [Cricket News](https://www.firstpost.com/firstcricket/), [Bollywood News](https://www.firstpost.com/entertainment/bollywood), [India News](https://www.firstpost.com/category/india) and [Entertainment News](https://www.firstpost.com/category/entertainment) here. [Business](https://www.firstpost.com/category/business) [Investment bank Credit Suisse's shares sink as top shareholder rules out more cash](https://www.firstpost.com/business/investment-bank-credit-suisses-shares-sink-as-top-shareholder-rules-out-more-cash-12298112.html) That yield is more than double what it was about two weeks ago, said Tradeweb data. [Banking crisis: Is the whipsaw in Deutsche Bank shares pointing to trouble?](https://www.firstpost.com/world/banking-crisis-is-the-whipsaw-in-deutsche-bank-shares-pointing-to-trouble-12344862.html) The sharp fall in Deutsche Bank shares highlights fear among investors about the overall stability of the European bank Last week was a tough ride for European banks with a state-backed rescue of Credit Suisse and crisis among banks in US fuelling concerns about the health of the global banking sector. These intra-day movements in Deutsche Bank highlight fear among investors about the overall stability of the bank.

International Business News: European banking stocks, including Deutsche Bank and UBS, fell due to concerns that regulators and central banks have yet to ...

The rescue of Credit Suisse has also ignited broader worries about investors' exposure to a fragile banking sector. US authorities had invoked "systemic risk exceptions" after the failures of SVB and Signature Bank that allowed them to protect uninsured deposits, including those of wealthy technology executives and "I think it had very profound implications for the regulation of banks, and for the way that banks manage themselves," Winters told a financial forum in Hong Kong. Swiss authorities and UBS are racing to close the takeover within as little as a month, according to two sources with knowledge of the plans. "Deutsche Bank has been in the spotlight for a while now, in a similar way to how Shares in Germany's largest bank have lost a fifth of their value so far this month and the cost of its 5-year credit default swaps (CDS) - a form of insurance for bondholders - jumped to a four-year high on Friday, based on data from S&P Market Intelligence.

Deutsche Bank shares tumbled 10.9 percent in early afternoon trading on the German stock exchange. It follows a steep rise in the cost to insure bondholders ...

International negotiators agreed to those rules following the 2008 global financial crisis triggered by the failure of U.S. The German lender has capital reserves well in excess of regulatory requirements and saw 10 straight quarters of profits. Credit Suisse’s troubles predated U.S. banks and jitters about long-running troubles at Credit Suisse led shares of Switzerland’s second-largest bank to tank and customers to pull out their money last week. Deutsche Bank shares tumbled 10.9 percent in early afternoon trading on the German stock exchange. Mar 24, 2023 IST4 Min(s) Read

Deutsche Bank மூலம் அடுத்த பூகம்பம் ஐரோப்பிய சந்தையில் வெடிக்க உள்ளதாக..? credit default swaps என்றால் ...

இந்த நிலையில் Deutsche Bank மூலம் ஐரோப்பிய சந்தைக்கு அடுத்த பெரிய பிரச்சனை உருவாகியுள்ளது. இதன் சங்கிலி தொடர் பாதிப்பாக தான் தற்போது ஜெர்மனி நாட்டின் மிகப்பெரிய வங்கியாக இருக்கும் Deutsche Bank-ன் கிரெடிட் டீஃபால்ட் ஸ்வாப்ஸ் அளவு அதிகரித்து பங்குகள் 14 சதவீதம் வரையில் சரிந்துள்ளது. இதேபோல் ஜெர்மனி நாட்டிள் அதிக கார்பரேட் கடன்களை கொண்டு இருக்கும் Commerzbank பங்கு விலை 9 சதவீதம் வரையில் சரிந்துள்ளது. இது மட்டும் அல்லாமல் இந்த மாதத்தில் இதுவரை Deutsche Bank-ன் மொத்த சந்தை மதிப்பில் ஐந்தில் ஒரு பங்கிற்கு மேல் இழந்துள்ளன. Deutsche Bank பங்குகள் Deutsche Bank மூலம் அடுத்த பூகம்பம் ஐரோப்பிய சந்தையில் வெடிக்க உள்ளதாக..?

బేజారిన జర్మన్ దిగ్గజ బ్యాంక్ Deutsche Bank AG.. కుప్పకూలిన స్టాక్.. ఏం జరుగుతోంది..? News. oi-Mamidi ...

ఈ నెలలో ఇప్పటివరకు స్టాక్ విలువ ఐదవ వంతు కంటే ఎక్కువ నష్టపోయిందని తెలుస్తోంది. ఈ క్రమంలో ఫ్రాంక్ఫర్ట్ స్టాక్ మార్కెట్లో డ్యుయిష్ బ్యాంక్ షేర్లు వరుసగా మూడో రోజు తిరోగమనాన్ని చవిచూశాయి. బ్యాంకింగ్ రంగంలో లోపల, బయట ఉన్న దీర్భకాలిక ఆందోళనలను తీవ్రమైనవి కాకుండా రెగ్యులేటరీలు చర్యలు తీసుకోవాలని చాలా మంది అభిప్రాయపడుతున్నారు.

The German institution is “on everyone's minds” as the possible next “domino to fall,” according to one analyst.

About half of the outflows came in the weeks following Silicon Valley Bank’s collapse, according to J.P. banks lost about $1.1 trillion in deposits over the last year, according to a recent J.P. The unexpected failures of mid-sized American banks Silicon Valley Bank and Signature Bank earlier this month sent shockwaves throughout the global financial system, eventually leading to the last-second rescue of Credit Suisse. banks each slid more than 1%, while shares of First Republic, the American bank most often floated as the next institution at serious risk, fell 5%. Holders of $17 billion in risky Credit Suisse bonds were not a part of the rescue deal and were left empty-handed, contributing to the rise in Deutsche Bank credit default swap rates as investors hope to avoid similarly finding themselves out of luck. for its “irresponsible lending practices” in 2006 and 2007 that partially caused the Great Recession, managed to navigate through that controversy by dramatically cutting costs, cutting roughly 20% of its global workforce in a single day in 2018 and successfully turning a profit in its last 10 quarters.

Europe's banking stocks tumbled Friday as investors acted on their lingering worries that the recent crises at some banks could spill over into the wider ...

The bond would have gradually lost its eligibility as a form of regulatory capital according to rules brought in after the 2008 financial crisis, the source said. Some analysts said investors had been rattled by Deutsche Bank’s announcement Friday that it would pay back one of its bonds five years before its maturity date. The cost of insuring against a possible default by Deutsche Bank on its debt has soared in recent days. [(DB)](https://money.cnn.com/quote/quote.html?symb=DB&source=story_quote_link), plunged as much as 14.5% before paring its losses to close 8.5% lower. Deutsche’s five-year credit default swaps (CDS) skyrocketed to 203 basis points Thursday, according to data from S&P Market Intelligence. The index is down 18% from its high in late February. [emergency takeover](https://edition.cnn.com/2023/03/20/investing/credit-suisse-at1-bond-write-down-explainer/index.html) brokered by the Swiss government. [hike interest rates](https://edition.cnn.com/2023/03/16/economy/european-central-bank-interest-rates/index.html) by half a percentage point, judging that inflation posed a bigger threat to the economy than recent turmoil in the banking sector. Shares in UBS [(UBS)](https://money.cnn.com/quote/quote.html?symb=UBS&source=story_quote_link) and Credit Suisse [(CS)](https://money.cnn.com/quote/quote.html?symb=CS&source=story_quote_link) were 3.6% and 5.2% down respectively. But — after two bank collapses in the United States and an emergency takeover of Credit Suisse this month — some investors may have interpreted the announcement as a sign that Deutsche Bank is nervous about the state of the banking sector and trying to overcompensate, Jonas Goltermann, deputy chief markets economist at Capital Economics, told CNN. [surprise spike in inflation](https://edition.cnn.com/2023/03/23/economy/uk-interest-rates-hike/index.html) last month. [crises at some banks ](https://edition.cnn.com/2023/03/15/economy/european-bank-rules-svb/index.html)could spill over into the wider sector.

Central banks and regulators had hoped that the Credit Suisse rescue deal would help calm investor jitters about the stability of Europe's banks.

and Europe, it is just how far regulators will always go to ensure depositors are protected," the note said. [underwent a multibillion-euro restructure](https://www.cnbc.com/2019/07/05/deutsche-bank-eyes-huge-multi-billion-euro-restructuring-drive.html) in recent years aimed at reducing costs and improving profitability. Credit Suisse's collapse boiled down to a combination of three causes, according to JPMorgan. relative value)," Autonomous strategists Stuart Graham and Leona Li said in a research note. These figures would not indicate that there is any cause for concern about the bank's solvency or liquidity position. Federal Reserve](https://www.cnbc.com/federal-reserve/) on Wednesday. JPMorgan was unable to determine whether the unprecedented depositor outflows suffered by the Swiss bank had been amassed by themselves in light of SVB's failure, or had been driven by a fear of those outflows and "lack of conviction in management's assurances." These were a "string of governance failures that had eroded confidence in management's abilities," a challenging market backdrop that hampered the bank's restructuring plan, and the market's "fresh and intense focus on liquidity risk" in the wake of the SVB collapse. At the time of SVB's collapse, Credit Suisse was already in the spotlight over its liquidity position and had suffered massive outflows in the fourth quarter of 2022 that had yet to reverse. The lender [recorded annual net income of 5 billion euros ($5.4 billion) in 2022](https://www.cnbc.com/2023/02/02/deutsche-bank-smashes-profit-expectations-in-fourth-quarter-as-higher-interest-rates-bolster-revenue.html), up 159% from the previous year. [emergency rescue](https://www.cnbc.com/2023/03/20/what-ubs-rescue-of-credit-suisse-cs-means-for-markets-and-banks.html) of [Credit Suisse](https://www.cnbc.com/quotes/CSG.N-CH/) by [UBS](https://www.cnbc.com/quotes/0R3T-GB/), in the wake of the collapse of [U.S.-based Silicon Valley Bank](https://www.cnbc.com/2023/03/13/hsbc-buys-silicon-valley-bank-uk-protecting-deposits-.html), has triggered contagion concern among investors, which was deepened by further monetary policy tightening from the [U.S. [wipe out 16 billion Swiss francs ($17.4 billion) of Credit Suisse's additional tier-one (AT1) bonds,](https://www.cnbc.com/2023/03/21/credit-suisse-bondholders-prepare-lawsuit-after-at1-bond-writedown-in-ubs-deal.html) left the market unconvinced that the deal would be sufficient to contain the stresses in the sector.

Shares of Germany's largest bank Deutsche Bank slid on Friday as investors fretted that regulators and central banks have yet to contain the worst shock to ...

The index of top European bank shares [(.SX7P)](https://www.reuters.com/quote/.SX7P) ended down 3.8%. A spokesperson for UniCredit declined to comment. [(JPM.N)](https://www.reuters.com/companies/JPM.N) ended down 1.5%, while Bank of America [(BAC.N)](https://www.reuters.com/companies/BAC.N) climbed 0.6%. "It takes time. The meeting was chaired by U.S. regulators - agreed at a Friday meeting that the U.S. Treasury said the Financial Stability Oversight Council - which comprises the heads of various U.S. In the latest effort to reassure investors, the U.S. [(CRDI.MI)](https://www.reuters.com/companies/CRDI.MI) is leaning towards [repaying a perpetual bond](/markets/rates-bonds/unicredit-leaning-towards-repaying-at1-bond-june-source-2023-03-24/) at the earliest opportunity in June, a source close to the matter told Reuters. [(.SPLRCBNKS)](https://www.reuters.com/quote/.SPLRCBNKS) recovered 1.75%, with PacWest Bancorp rallying more than 3% and First Republic Bank [(FRC.N)](https://www.reuters.com/companies/FRC.N) falling 1.4%. [(DBKGn.DE)](https://www.reuters.com/companies/DBKGn.DE) was thrust into the investor spotlight and [slumped](/markets/deutsche-bank-shares-whipsaw-after-cds-blow-out-2023-03-24/) 8.5% alongside a sharp jump in the cost of [insuring](/markets/deutsche-bank-shares-whipsaw-after-cds-blow-out-2023-03-24/) its bonds against the risk of default. [(SBNY.O)](https://www.reuters.com/companies/SBNY.O) earlier this month.

Deutsche shares fell as much as 15% in trading on Friday, prompting concerns it might be the next domino to fall after failed lender Credit Suisse.

[apparent contradiction](https://www.axios.com/2023/03/22/yellen-powell-fdic-large-bank-deposit) with comments from Federal Reserve Chair Jerome Powell, who said hours earlier that there is an implicit blanket guarantee was in place. Consequently analysts covering the bank urged investors not to assume Deutsche faces the same [problems that dogged Credit Suisse](https://fortune.com/2023/03/24/europe-banks-will-pay-for-wiping-out-credit-suisse-bondholders-tidjane-thiam/). [eerily similar](https://fortune.com/2023/03/21/svb-crisis-communication-banks-greg-becker-lessons/) to Greg Becker, CEO of [Silicon Valley Bank](https://fortune.com/company/svb-financial-group/), who told clients “ [not to panic](https://fortune.com/2023/03/09/silicon-valley-bank-panic-venture-investors-founders/)” amid a run on deposits. Cross-town rival Commerzbank, which celebrated a return to the DAX blue chip index last month after a five year period of expulsion, finished 5.5% lower. This may have been a reference to the confusion sown earlier this week by U.S. “They are the result of oversight and governance measures taken over the past years to regulate solvency and liquidity.” A global systemically important bank (G-SIB) like Deutsche then has additional requirements to meet. In addition, lenders have regulations governing stable and diversified funding to ensure they do not refinance themselves predominantly via the wholesale market. “As we witnessed with CS, the risk is if there is a knock-on impact from various media headlines on depositor psychologically, regardless of whether the initial reasoning behind this was correct or not.” Unfortunately for Becker, they did panic and the following day SVB was [seized by federal authorities](https://fortune.com/2023/03/10/svb-collapse-fdic-takeover-martin-gruenberg-620-billion-hole-banks-balance-sheet/), marking the second-largest banking failure in U.S. For one Germany is considered overbanked, with a multitude of thrifts and cooperatives competing for customers, thereby reducing structural profitability in its domestic market. His bank’s collapse on March 10 lit the fuse for the sector’s worst crisis since the 2008 demise of Lehman Brothers.

Germany's chancellor rejects Credit Suisse comparison as EU leaders seek to reassure markets after share slide.

For cost savings, you can change your plan at any time online in the “Settings & Account” section. Compare Standard and Premium Digital For a full comparison of Standard and Premium Digital,

German Chancellor Olaf Scholz said there's no reason for concern about Deutsche Bank AG after worries about the broader European banking sector sent the ...

Shares in Deutsche Bank, Germany's largest lender, have fallen sharply and dragged down major European banks as fears about the global financial system send ...

International negotiators agreed to those rules following the 2008 global financial crisis triggered by the failure of U.S. failures focused less-friendly attention on banks and a key Credit Suisse investor refused to put up more money. That followed a steep rise in the cost to insure bondholders against the bank defaulting on its debts, known as credit default swaps. banks and jitters about Credit Suisse’s long-running troubles led its shares to tank and customers to pull out their money. Efforts to strengthen banking regulation in recent years “puts us all in a position to say that European banking supervision and the financial system are robust and stable and that we have resilient capitalization of European banks,” Scholz said. authorities for misleading buyers of complex mortgage-backed securities that later went sour. Rising costs on insuring debt were also a prelude to Swiss lender Credit Suisse’s government-backed rescue by rival UBS. However, the selloff of European bank shares “continues to appear more related to lack of confidence than fundamentals.” Davide Oneglia at investment strategy research provider TS Lombard said it wasn’t surprising that “the next bank in the firing line is now Deutsche Bank.” It was associated with Credit Suisse in the past because of “managerial/strategic failures and involvement in many financial scandals” despite its recent profits. The selloff “might also be more emotionally driven, so to speak, rather than based on facts, but this is something that had to be expected” based on its history and performance after the global financial crisis, he said. The market values the bank at less than the assets on its balance sheet, he said: “That means investors are still very worried about what are the risks that the bank has on its balance sheet or its earnings potential going forward, and that’s not good.” “Deutsche Bank has thoroughly modernized and reorganized its business and is a very profitable bank,” Scholz said after a European Union summit in Brussels.

డాయిష్‌ బ్యాంక్‌ 14% డౌన్‌ ... ఫ్రాంక్‌ఫర్ట్‌: అంతర్జాతీయంగా బ్యాంకింగ్‌ వ్యవస్థ సంక్షోభంపై ...

అయితే డాయిష్ బ్యాంక్ మరో క్రెడిట్ సూసీ కావచ్చన్న ఆందోళనలను జర్మనీ చాన్స్లర్ ఒలాఫ్ షోల్జ్ తోసిపుచ్చారు. ఇటీవల స్విస్ బ్యాంక్ క్రెడిట్ సూసీ పతనానికి ముందు కూడా ఇలాంటి పరిణామమే చోటు చేసుకోవడం గమనార్హం. బాండ్లను బీమా చేసేందుకయ్యే వ్యయాలు పెరిగిపోవడం డాయిష్ బ్యాంక్ పరిస్థితిపై ఆందోళనకు కారణమైనట్లు పరిశ్రమ వర్గాలు తెలిపాయి.

Worries over the financial strength of the sector persist, with Deutsche Bank shares down 14% at one point.

In Europe, the banks hit by a sell-off from worried investors included Germany's Commerzbank, which saw shares fall about 5%. But on Friday St. These rate rises have hit the value of investments that banks keep some of their money in, and contributed to the bank failures in the US. Bank of England governor Andrew Bailey also told the BBC that the UK banking system was "safe and sound". Russ Mould, investment director at AJ Bell, told the BBC that the drop in Deutsche Bank's share price, and a sharp jump in the cost of insuring against a possible default by the bank, was "indicative of a wider loss of confidence in the banking sector". Sharp declines in banking shares in Europe have renewed concerns that the panic triggered by the collapse of two US banks and rushed takeover of Swiss giant Credit Suisse may not be easily contained.

How serious are the difficulties facing the German lender? | Finance & economics.

Yet the main reason for the sell-off is not a dreaded skeleton in Deutsche Bank’s closet. The market for Deutsche Bank’s credit-default swaps is illiquid, meaning a few trades can move prices fast. Deutsche Bank’s net profits of €5.7bn ($6.1bn) in 2022 were double those of the year before. And at1s count for a higher share of Deutsche Bank’s risk-weighted assets than at other banks. Deutsche Bank may have a large book of derivatives, which are dangerous instruments in volatile markets, but these are traded openly and often enough to make it unlikely they are severely mispriced. By contrast, after a prolonged and painful restructuring, Deutsche Bank is profitable.

International Business News: Shares of Deutsche Bank fell on Friday amid concerns that regulators have yet to contain the worst shock to the sector since ...

A spokesperson for UniCredit declined to comment. The index of top European bank shares ended down 3.8%. "It takes time. "The developments in the AT1 market mean that most European banks are incentivized at this point to issue common equity, which is diluting for shareholders and also the reason why banking stocks are being reset lower," said Peter Garnry, head of equity strategy at Saxo Bank. Still, shares in Germany's largest bank have lost a fifth of their value so far this month and the cost of its five-year credit default swaps (CDS) - a form of insurance for bondholders - jumped to a four-year high on Friday, based on data from S&P Market Intelligence. In the latest effort to reassure investors, the US Treasury said the Financial Stability Oversight Council - which comprises the heads of various US regulators - agreed at a Friday meeting that the US banking system is "sound and resilient."