- MERKEL’S WORST NIGHTMARE: Angela Told by EU – Deutsche Bank CANNOT Have Germany Bailout
by ALIX CULBERTSON AND LANA CLEMENTS, http://www.express.co.uk/
DEUTSCHE Bank has been dealt a huge blow after the EU told Angela Merkel the crucial Germany bank should NOT have state aid and must survive “on its own”.
Jeroen Dijsselbloem said Berlin cannot be allowed to help the beleaguered bank after its shares plunged to a 33-year low today, prompting panic across Europe’s financial sector. The president of the Eurogroup – the informal body of eurozone finance minister – made the comments today outside the Dutch Cabinet’s weekly meeting. Deutsche’s German-listed stock tumbled by nine per cent on Friday morning to a new record low, after its US-listed shares fell by more than eight per cent overnight amid news hedge funds were pulling business away from the lender.
At the close of the Börse Frankfurt, Deutsche Bank’s shares bounced back into positive territory at 6.4 per cent, up by 0.69 at €11.57, leaving them 1.4 per cent higher for the week. The fresh sell-off rounds off a week of woe for the Germany’s flagship bank, and sent shockwaves blasting across eurozone banks. Shares in Germany’s second-biggest lender Commerzbank dived by more than six per cent, while France’s Societe Generale and Spain’s Banco Santander tumbled by around four and five per cent respectively.