Shares of Deutsche Bank have hit record lows this week on mounting worries about the struggling German lender, and they were dropping again on Thursday.
On Thursday, a Bloomberg report raised concerns that a handful of funds are less willing to do business with the struggling firm. The report, citing a source and review of an internal document, said that a small number of the hedge funds that do derivatives business with the German bank have cut their exposure.
Deutsche Bank’s U.S.-traded shares dropped after the report and were on pace to close at a record low.
It’s been a tough two weeks for Deutsche Bank: The German lender has been hit with billions in fines from the U.S. Justice Department — though most market watchers expect the total penalty being floated by the United States is likely to be reduced — and there have also been reports that the German government won’t be helping the ailing bank.
Since a peak in July 2015, shares have fallen more than 65 percent and the stock has erased more than half of its market value, from nearly $50 billion to about $16 billion this week. Meanwhile, net revenue fell almost 21 percent in the first half of this year from last year, according to the company’s interim report.