US stocks

US stocks rise on Deutsche deal report

Last updated: October 1, 2016

New York, NY (BBN) - US stocks bounced back on Friday, amid rumours that Deutsche Bank's huge US fine could be reduced.

The Dow Jones Industrial Average ended the day up 0.91 per cent at 18,308.15, while Deutsche Bank itself was up 14 per cent, reports BBC.

Deutsche Bank is facing a $14bn fine handed down by US Department of Justice for mis-selling mortgage-backed securities during the financial crisis.

Deutsche Bank's ability to pay the fine has caused considerable concern and led to big falls in the company's shares.

On Thursday, its Wall Street-listed shares fell by nearly 7.0 per cent following a report that some hedge funds had withdrawn money from the bank.

It continued dropping on Friday before unconfirmed reports said the bank was close to agreeing a reduction in the fine to $5.4bn.

Also on Friday, the more tech-heavy Nasdaq was up 0.81 per cent at 5,312.00 and the broader S&P 500 index was 0.80 per cent higher at 2,168.27.

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