Bank Revenues Down In Europe But Stable In The U.S.

Deutsche Bank Research analysts Jan Schildbach and Claudius Wenzel analyze the factors leading to a sharp divide between the performance and outlook of the European banks vis-à-vis their U.S. counterparts. “On the one hand, US banks are back at pre-crisis record profitability levels – indeed, in Q2 this year they reported their highest quarterly net income ever (USD 42 bn). On the other, European institutions are struggling to find new ground in a profoundly changed, politically and economically more challenging operating environment…” The yawning gap The stock market, that ruthless arbiter, has shown clearly that investors favor U.S. banks –…