From Zero Hedge, Deutsche continues to track for the abyss:
From Frances Coppola at Forbes:
The proximate cause of the latest panic is the US Department of Justice’s proposed $14bn fine for mis-selling American MBS prior to the 2008 financial crisis. Deutsche Bank insists that it has “no intention” of paying anything like $14bn, and points out that other proposed penalties imposed by the DoJ have been substantially negotiated down. For example, the penalty eventually agreed with Goldman Sachs for MBS mis-selling was $5.06bn: the FT reports that Deutsche Bank expected a penalty of about half as much. However, the Bank of America and JP Morgan both paid much higher penalties, at $13bn and $16.6bn respectively. If the DoJ can impose such harsh penalties on American banks, it is not clear why the giant German bank should expect leniency.
