Deutsche Bank fine puts cherry on the top of a miserable week for Europe
LONDON — A huge fine for Deutsche Bank compounded a miserable week for European stocks on Friday, while bonds bounced as weak US retail sales figures triggered a pullback in Federal Reserve rate hike expectations.News overnight that the US Department of Justice had levied a far-bigger-than-expected $14bn fine on Germany’s largest bank sent financial stocks across Europe tumbling amid concern that others could also be clobbered.Banks shares were on course for a weekly loss of more than 6%, their biggest since Britain’s vote to leave the EU at the end of June. Europe overall has also lagged the rest of the world, with market falls of almost 4% in Italy, Spain and Portugal."With Deutsche Bank facing a $14bn claim against it in the US for alleged irregularities in the way it sold mortgage securities before the financial crisis, you have to wonder if financial regulators are starting to do more harm than good," said ETX Capital analyst Neil Wilson."How can banks hope to move on from the ...
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