Deutsche Bank said it expected to post a second-quarter profit and would not require extra capital, after shares in the biggest German bank plunged earlier in the week on rumours it would issue a profit warning.
'Based on its current expectations, it anticipates reporting a profitable second quarter 2008 when it announces quarterly earnings as scheduled on 31 July,' a Deutsche Bank statement said. 'The bank does not expect its financial performance in the second quarter to result in a requirement for further capital,' it added.
Speculation over a possible profit warning had pushed the bank's shares lower earlier in the week.
Deutsche Bank has declined to give a full-year outlook after posting a first quarter loss of €131m, its first in five years.
The bank took write-downs of €2.7 billion, after initially appearing to have escaped the worst of a financial crisis that followed the collapse of the US market for high risk, or sub-prime, mortgages in mid-2007.
Major international rivals like Citibank and UBS have required billions of dollars in capital injections after suffering massive losses in connection with the sub-prime crisis.
