Deutsche Bank is getting slammed again
Deutsche Banks is down 7.15% at $11.42 per share following a Bloomberg report that about 10 hedge funds have reduce their exposure in the stock. Thursday's slide marks the seventh decline in 10 days as worries over the health of the German investment bank persist.
On Monday, shares of Deutsche Bank fell to a record low amid concerns the bank would have to pay $14 billion to US authorities in legal costs and settlements over an investigation into sales of mortgage-backed securities. In a memo to employees, the bank said that it has "no intention to settle these potential civil claims anywhere near the opening position of $14 billion" and that it had no plans to raise capital. Additionally, the German government has said that it will not bailout out the bank.
Deutsche Bank is not the only German lender to make headlines as of late. On Thursday, Commerzbank, Germany's second largest bank, said it was eliminating about 10,000 jobs, or more than 20% of its labor force, in a restructuring effort.
Whoosh.
