Deutsche Bank’s shares have soared to their highest level in a decade following a report of better-than-expected trading results. This surge marks a significant milestone in the ongoing recovery of Germany’s largest bank under the leadership of Chief Executive Officer Christian Sewing. The bank has been focusing on its traditional strengths to boost profitability and shareholder payouts.
Income from trading bonds and currencies experienced an 11 per cent increase, reaching €2.28 billion (AUD$4.1 billion). This figure surpassed analyst estimates of €2.20 billion, mirroring a strong performance observed across Wall Street. The positive results led to the shares climbing as much as 9.9 per cent, achieving their highest value since April 2015. Deutsche Bank is a global investment bank and financial services company. It provides a range of financial products and services to corporations, governments, and individuals.
Chief Financial Officer James von Moltke stated that the entire investment bank division has had a “good start” to the current quarter, instilling confidence about future prospects. CEO Sewing confirmed that these results position the bank favourably to meet its targets for the year. Deutsche Bank has regained trading market share, assisted by credit rating upgrades.
Deutsche Bank has reiterated that it has submitted a share buyback application to the European Central Bank, without specifying the amount. The bank clarified that the implementation of capital rules known as CRR3 will not affect its payout strategy, addressing previous market speculation.