And the Deutsche Bank rout could already be affecting other European banks.
One by one, bank CEOs Down Under are facing hearings conducted by a parliamentary committee. According to Bloomberg, the latest one to appear before the committee was ANZ CEO Shayne Elliott, who said that, “Returns in Australian banking are trending lower. While steps to bolster balance sheets were 'a sensible and pre-emptive response' there was 'a cost to shareholders and customers.'" Read more here.
Morgan Stanley allegedly ran high-pressured sales contests, causing Massachusetts' top securities regulator to charged the bank with "dishonest and unethical conduct," according to Reuters. Read more here.
According to CNBC, Raoul Pal, founder of The Global Macro Investor, noticed smaller Spanish banks like Banco Popular in free fall with many hitting all-time lows, but bigger banks like Santander also reflect some of the very same problems currently plaguing Deutsche Bank. Read more here.
Bloomberg reports that Zurich-based bank Credit Suisse is securing full banking license in Saudi Arabia and is currently coordinating with the central bank for an onshore license. Read more here.
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