Deutsche Bank fails to score Justice Dept. deal, shares fall
- Wall Street hits new high as post-election rally roars ahead
- ECB to scale back asset buys as it extends to end-2017
- lululemon athletica (LULU) Tops Q3 EPS by 4c; Adj.-Comps Outpaced Views
- Oil rises above $50 despite doubts over OPEC output cut
- Pre-Open Stock Movers 12/08: (VYGR) (TLRD) (LULU) Higher; (OHRP) (VRNT) (CMTL) Lower (more...)
A statue is seen next to the logo of Germany's Deutsche Bank in Frankfurt, Germany, January 26, 2016. REUTERS/Kai Pfaffenbach/File Photo
Get instant alerts when news breaks on your stocks. Claim your 2-week free trial to StreetInsider Premium here.
FRANKFURT/LONDON (Reuters) - Deutsche Bank
Cryan was attending the International Monetary Fund and World Bank's autumn meetings in Washington, raising hopes that he might personally negotiate down the $14 billion fine the DoJ has demanded.
"One had hoped that a quick agreement was possible," a German trader said.
By 0818 GMT, Deutsche Bank shares had pared losses but were still at the bottom of a flat German blue-chip index <.GDAXI>, down 3 percent at 11.74 euros.
"They had a bit of a bounce up last week, but I would still steer clear of Deutsche Bank," said Terry Torrison, managing director at Monaco-based McLaren Securities.
"They were never going to sort out the U.S. issues that quickly, and whatever happens, I still think they will need to have a rights issue."
Deutsche Bank is expected to issue new shares, sell assets, or both, once it knows the scale of the fine, to ensure that its capital ratio remains within regulatory limits.
It is struggling to restore market confidence, which took a blow when the $14 billion figure was leaked but which was already low as investors questioned whether Cryan had a credible plan to revamp the bank.
(Reporting by Patricia Uhlig and Sudip Kar-Gupta; Writing by Georgina Prodhan; Editing by Maria Sheahan)
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- UPDATE: LPL Financial (LPLA) Said to Decide to Stay Independent After Reviewing Options - Bloomberg
- Celadon Group (CGI) Lower Following Negative Article
- Stocks with Implied Volatility Movement
Create E-mail Alert Related CategoriesLitigation, Reuters, Trader Talk
Related EntitiesDeutsche Bank
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!