Deutsche Bank's Default Insurance Reaches 2018 High Amid Share Plunge.

Deutsche Bank shares fell by as much as 14.9% on Friday to their lowest in five months, after the cost of insuring the bank's debt against the risk of default shot to more than four-year highs. Deutsche Bank's credit default swaps (CDS) - a form of insurance for bondholders - shot up above 220 basis points (bps) - the most since late 2018 - from 142 bps just two days ago. The rise in CDS for major European banks reflects investors' reluctance to carry any risk on their portfolios going into the weekend. Despite the turbulence, market watchers highlight that European regulators and central banks have reiterated their intention to keep markets stable, and that the banks themselves are more strongly capitalised and regulated than they were back in 2007 just before the global financial crisis.