EUR: beware of the stress tests
On Sunday the European Central Bank will release the test outcomes for 130 banks.
Investors are seriously concerned about the health of the European banking sector. Spanish newswire Efe said on Wednesday that at least 11 euro zone banks had failed stress tests run by the ECB.
According to Bloomberg, analysts say that Deutsche Bank, Germany’s largest lender, is at risk of failing the test, if the ECB doesn’t take into account the capital which DB has raised this year when it sold 8.5 billion euro of shares.