Betting against Deutsche Bank

Deutsche Bank logo

Price losses at the largest German bank have fueled fears of the banking crisis spreading.

(Photo: AP)

Frankfurt/New York Those were dramatic hours. Last Friday, the prices of European banks collapsed massively. Deutsche Bank had to cope with the highest losses, at times the share of the largest domestic money house was 15 percent in the red. Concern grew on the markets that the banking crisis would spread further after the collapse of three smaller financial institutions in the USA and the emergency takeover of Credit Suisse. What happened?

There are no clear answers, but there is a suspicion and an attempt at an explanation. “Deutsche Bank itself has only just gone through a restructuring and is therefore still open to attack, especially in such a nervous market,” analyzes the board of directors of a German bank. But there is no fundamental justification for such a dramatic fall in the stock. The pattern of trading movements speaks for a targeted attack by hedge funds and other activist investors.

>> Read here: All current developments on the banking crisis

Read on now

Get access to this and every other article in the

Web and in our app free of charge for 4 weeks.

Further

Read on now

Get access to this and every other article in the

web and in our app.

Further

source site-11