Speaking at the European Union (EU) Summit in Brussels, Belgium on March 24, German Chancellor Olaf Scholz affirmed that Deutsche Bank is a profitable corporation so there is no reason to worry.
Meanwhile, French President Emmanuel Macron also affirmed that the European banking system is very solid. European Central Bank President Christine Lagarde emphasized that the eurozone is resilient because it has strong capital and a solid liquidity position.

Deutsche Bank headquarters in Frankfurt, Germany Photo: REUTERS
The reassurances came after Deutsche Bank shares continued to fall on March 24, marking the third consecutive day of declines. The day before, the bank’s credit default swaps (CDS) surged on concerns about the stability of the European banking sector. CDS are a form of insurance for bondholders of a company in the event of a default.
According to CNBC, many analysts find it difficult to understand why a bank that has made profits for 10 consecutive quarters, always proud of its solid capital and good liquidity like Deutsche Bank is in such a situation.
The bank's net income in 2022 was 5 billion euros, up 159% from the previous year. Some are concerned about Deutsche Bank's current focus on commercial real estate investments in the US.
However, Autonomous Research (UK) believes that Deutsche Bank "is not the next Credit Suisse". Credit Suisse is a Swiss bank that was forced to merge after falling into crisis.
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