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Deutsche Bank posts US$2.05 billion Q4 loss as legal bill weighs
[FRANKFURT] Deutsche Bank posted a net loss of 1.9 billion euros (US$2.05 billion) in the fourth quarter as legal costs for past misdeeds outstripped gains from a rebound in bond trading.
Germany's flagship lender missed the higher expectations of analysts who had expected the bank to post a fourth-quarter net loss of just 1.16 billion euros.
The bank hiked its litigation reserves to 7.6 billion euros from 5.9 billion euros in the quarter, as it had to put more money aside for settlements such as over the sale of toxic mortgages and sham Russian equities trades.
Revenues at its cash cow bond trading division were up 11 per cent in the quarter as it benefited from a surge in trading across interest rate products, commodities and foreign exchange (FICC) as investors responded to Donald Trump's victory in the US presidential election.