Deutsche Bank is getting whacked after report says the Fed calls its US division 'troubled'
- Deutsche Bank is down almost 7% Thursday after a Wall Street Journal report says the Federal Reserve deemed its US division as in "troubled condition."
- The bank announced earlier this month that it was laying off 7,000 employees.
- Shares are getting close to their all-time low.
- Watch Deutsche Bank trade in real time here.
Deutsche Bank is under pressure Thursday morning, down nearly 7%, after the Federal Reserve concluded the lender's US division is in "troubled condition," according to the Wall Street Journal.
That means Deutsche Bank has to trim some trading and lending to customers in order to keep its risk levels low. The Fed has found the bank doesn't have proper risk controls in place, which will limit some of the trading or lending activities it does on behalf of clients.
This isn't the first blow Deutsche Bank's stock has taken in recent weeks. Last week, the bank announced it was laying off 7,000 employees, sending shares down nearly 5%. They have continued to fall since, and are approaching their all-time low of $9.98 set in September 2016.
Deutsche Bank is down 44.06% this year.
