German Banks Benefit From Fiscal Expansion Double Bonanza -- Market Talk

Dow Jones

Mar 24, 2025

1002 GMT - Germany's fiscal expansion has created a "positive double whammy" for the country's banks with GDP upgrades and a steeper yield curve, RBC Capital Markets says in a research note. The knock-on effects of this and initiatives announced across Europe are positive, signaling an inflection point for the German economy, the analysts write. Economists are upgrading euro area GDP forecasts for the first time in a while, which is supportive for loan growth given historical correlations, and a steeper yield curve is positive for bank shares. They point to risks in the near term for Deutsche Bank given estimates aren't moving up as fast as share prices and uncertainty due to geopolitics but see room for rerating in the longer term on better economic growth and the bank's ability to improve performance. (elena.vardon@wsj.com)

(END) Dow Jones Newswires

March 24, 2025 06:03 ET (10:03 GMT)

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The knock-on effects of this and initiatives announced across Europe are positive, signaling an inflection point for the German economy, the analysts write. Economists are upgrading euro area GDP forecasts for the first time in a while, which is supportive for loan growth given historical correlations, and a steeper yield curve is positive for bank shares. They point to risks in the near term for Deutsche Bank given estimates aren't moving up as fast as share prices and uncertainty due to geopolitics but see room for rerating in the longer term on better economic growth and the bank's ability to improve performance. 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The knock-on effects of this and initiatives announced across Europe are positive, signaling an inflection point for the German economy, the analysts write. Economists are upgrading euro area GDP forecasts for the first time in a while, which is supportive for loan growth given historical correlations, and a steeper yield curve is positive for bank shares. They point to risks in the near term for Deutsche Bank given estimates aren't moving up as fast as share prices and uncertainty due to geopolitics but see room for rerating in the longer term on better economic growth and the bank's ability to improve performance. (elena.vardon@wsj.com) \n</p>\n<pre>\n \n</pre>\n<p>\n  (END) Dow Jones Newswires\n</p>\n<p>\n  March 24, 2025 06:03 ET (10:03 GMT)\n</p>\n<p>\n  Copyright (c) 2025 Dow Jones &amp; Company, Inc.\n</p>\n</font>\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BK4588","symbol_name":"碎股","start_time":0,"source_url":"https://dowjonesnews.com/newdjn/logon.aspx?AL=N","article_id":"2521712514","we_media_id":"106","thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2521712514","pubTimestamp":1742810580,"columns":[],"sourceInfo":null,"weMediaInfo":{"media_name":"Dow Jones","introduction":"Dow Jones publishes the world’s most trusted business news and financial information in a variety of media.","home_visible":0,"id":"106","head_image":"https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99"},"summary":"1002 GMT - Germany's fiscal expansion has created a \"positive double whammy\" for the country's banks with GDP upgrades and a steeper yield curve, RBC Capital Markets says in a research note. 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","collect":0,"end_time":0,"defaultTopTitle":"","property":[],"viewcount":null,"language":"en","relate_stocks":{"BK4588":"碎股","BK4566":"资本集团","BK4585":"ETF&股票定投概念","BK4552":"Archegos爆仓风波概念","CRZBY":"Commerzbank AG","BK4118":"综合性资本市场","BK4207":"综合性银行","DB":"德意志银行"},"translate_title":"德国银行受益于财政扩张的双重财富——市场讨论","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"DB":0.9,"CRZBY":0.9},"content_text":"1002 GMT - Germany's fiscal expansion has created a \"positive double whammy\" for the country's banks with GDP upgrades and a steeper yield curve, RBC Capital Markets says in a research note. The knock-on effects of this and initiatives announced across Europe are positive, signaling an inflection point for the German economy, the analysts write. Economists are upgrading euro area GDP forecasts for the first time in a while, which is supportive for loan growth given historical correlations, and a steeper yield curve is positive for bank shares. They point to risks in the near term for Deutsche Bank given estimates aren't moving up as fast as share prices and uncertainty due to geopolitics but see room for rerating in the longer term on better economic growth and the bank's ability to improve performance. (elena.vardon@wsj.com) \n\n\n \n\n\n  (END) Dow Jones Newswires\n\n\n  March 24, 2025 06:03 ET (10:03 GMT)\n\n\n  Copyright (c) 2025 Dow Jones & Company, Inc.","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"1","news_tag":"economic","news_rank":0,"symbols":[],"gpt_button":0,"need_auth":true,"code":"91000000","status":"200"}}}