Deutsche Bank share opened down 8% in Germany on Friday, after confirming overnight that the US is seeking a $14 billion (£10.4 billion) settlement with the German lender over mortgage-backed security sales.
Here’s how Deutsche Bank shares look after 15 minutes of trade in Frankfurt — slightly better than at the open but still down more than 6%:
Deutsche Bank was forced to put on a statement on Thursday night after the Wall Street Journal reported that the US Department of Justice was asking for $14 billion (£10.4 billion) to settle a mortgage securities probe.
Deutsche Bank confirmed the figure but said it has “no intent to settle these potential civil claims anywhere near the number cited.”
“The negotiations are only just beginning,” the German lender said in a statement. “The bank expects that they will lead to an outcome similar to those of peer banks which have settled at materially lower amounts.”
Deutsche Bank has just €5.5 billion (£4.6 billion, $6.2 billion) in litigation reserves set aside.