Why Shares of Deutsche Bank and Other European Lenders Are Falling Today
Shares of several large European-based banks fell this morning after shares of the embattled Swiss lender Credit Suisse (NYSE: CS) tanked by as much as 25% this morning, spooking the entire sector.
Shares of the German bank Deutsche Bank (NYSE: DB) were trading roughly 8.7% lower at 10:44 a.m. ET today. Meanwhile, shares of the Spanish lender Banco Bilbao Vizcaya Argentaria (NYSE: BBVA) traded roughly 10% lower, while shares of the large Dutch bank ING Groep (NYSE: ING) were down about 9.2%.
The global banking sector has been on edge since last week, when Silvergate Capital (NYSE: SI), SVB Financial (NASDAQ: SIVB), and Signature Bank (NASDAQ: SBNY) collapsed in a span of just days. Those banks faced a run on deposits and then had to sell bonds at losses to cover the outflows.
Source Fool.com
