Shares in Deutsche Bank have hit a new low after a weekend report said that Chancellor Angela Merkel had ruled out giving it state aid.
Concerns have been raised about its financial health and the bank’s shares are down more than 50 percent this year.German Chancellor Angela Merkel.
Focus magazine also said that Ms Merkel would not get involved in its dispute with the US over a $14bn bill regarding the sale of mortgage products.
Deutsche Bank said it had not expected Ms Merkel to intervene in the US case.
“At no point has [chief executive] John Cryan asked Chancellor Merkel to intervene in the RMBS [residential mortgage-backed securities] issue with the US Department of Justice,” it said in a statement. “Deutsche Bank is determined to meet the challenges on its own.”
Of the $14bn bill, which relates to products sold in the run-up to the financial crisis, Deutsche Bank has previously said it has “no intent to settle these potential civil claims anywhere near the number cited. The negotiations are only just beginning.”
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