Beyond the ongoing 'short-term' subprime crisis, the 'mega trends' that will shape banking and its growth in the long term will be globalization, the growth of capital markets and global asset growth and its impact on how it's managed, said Deutsche Bank's top corporate and investment banker.
Germany's biggest bank expects a $2 billion 3q profit despite big hits from global credit market problems
Calls for Chuck Prince's resignation grew louder after the largest U.S. bank warned of a steep profit drop in the latest quarter.
Deutsche Bank's profit could be hit by up to 1.7 billion euros ($2.4 billion) due to loans that have dwindled in value as a result of the credit market crisis, sources familiar with the situation said.
Deutsche Bank's profit could be hit by up to 1.7 billion euros ($2.4 billion) due to loans that have dwindled in value as a result of the credit market crisis, sources familiar with the situation said.
The Federal Reserve is expected to chart a new course on Tuesday and cut benchmark interest rates for the first time since mid-2003 to protect the economy from a housing downturn and jittery credit markets.
Bank of America sold 230 billion yen ($2 billion) of global bonds on Friday, sources said, joining a handful of major banks that have sought to raise cash in Japan's stable credit markets.
Germany's IKB said on Monday it would return to its small-company lending roots, and expects to lose nearly $1 billion this year after its U.S. subprime investments turned sour.
European share indexes rose on Monday as remarks by executives of Barclays and Deutsche Bank eased fears of losses from the recent credit market turmoil, but utilities fell after news of a big French merger.
The Federal Reserve on Friday reassured investors it would take any steps needed to shelter the U.S. economy from a global credit squeeze, while President George W. Bush promised to help struggling homeowners refinance their mortgages. Chairman Ben Bernanke also said the central bank would not bail out investors who had made mistakes.
German banks face a critical situation because foreign banks are reluctant to lend to them after the joint rescue of small-company lender IKB, state-backed lender WestLB's chief executive said.
U.S. consumer sentiment deteriorated in August to its weakest in a year as more expensive oil, declining home prices and turmoil in financial markets all hurt confidence.
Swiss bank UBS, the world's largest wealth manager, beat forecasts with record second-quarter profits on Tuesday but warned market turmoil was likely to hit its investment banking business in the second half of the year.
Sony Corp. (6758.T) shares fell as much as 2.6 percent on Thursday, hit by another delay in the launch of its PlayStation 3 game console, but outperformed sector peers and the broader market by the end of the day as investors weigh the likely impact of the delay.
Investors in Asia's biggest property market, Japan, will need to be more selective and work harder on refurbishing buildings to make good returns as the cost of borrowing increases, fund managers say.
The world's attention is firmly turned toward Asia when it comes to widening imbalances in global trade and investment, soaring foreign-exchange reserves and the dollar's structural weakness.
