Deutsche Bank plans to cut 500 investment banking jobs as business slows sharply amid the European debt crisis, news media are reporting. The bank also said it would miss its $13.2 billion pre-tax profit goal for 2011.
"The intensifying European sovereign debt crisis led to sustained uncertainties among market participants in the third quarter and thus to significantly reduced volumes and revenues," Deutsche Bank said, according to The New York Times.
The bank also said "operating costs relating to an indirect tax position" weighed on third-quarter earnings, according to Bloomberg.
In addition, Deutsche Bank will write down 250 million euros of Greek debt, the Financial Times reports.
France and Belgium ready to bail out jointly-owned Dexia bank on concerns about Greek debt exposure. [DealBook]
UBS private banking revenue boosts overall profit despite $2.3 billion rogue trading loss. [Reuters]
European banks struggle to reassure investors as eurozone crisis worsens. [Wall Street Journal]
Regulators seen requiring banks to write "living wills" to manage potential failures. [Financial Times]
Citigroup, having sold most of unwanted assets, struggles to shed remaining dead weight. [Wall Street Journal]
Occupy Wall Street movement matures, with protesters asking for accountability and equality. [DealBook]
Axa private equity arm sees bids from BlackRock, KKR, Singapore Investment and others. [Dow Jones Newswires]
Japan's Mizuho Securities to fire 700 as it works to become profitable again. [Financial Times]
U.S. needs to reform how mortgages are originated and handled, Fed official says. [Reuters]