Deutsche Bank made huge profit on Libor bet: WSJ
FRANKFURT (MarketWatch) — Deutsche Bank AG made a profit of at least 500 million euros (4 million) on trades in 2008 tied to the London interbank offered rate, or Libor, and other global benchmark rates, The Wall Street Journal reported late Wednesday, citing internal bank documents. Regulators have been probing allegations that more than a dozen banks, including Deutsche Bank, manipulated Libor and other rates. The investigation has resulted in settlements totaling nearly billion with Barclays PLC and UBS AG. The Deutsche Bank documents were handed to investigators by a former bank employee, the Journal said. The former employee told regulators some employees expressed concerns about the risks surrounding the bets, but that bank officials dismissed the worries because the bank could influence the rates, the newspaper said. A Deutsche Bank spokesman told the Journal that the allegations were “categorically false.”
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