Merkel Defies Deutsche Bank as Ackermann Frets Bonds

The leader of Europe’s biggest economy and the head of Germany’s largest bank, partners in a financial rescue two years ago, are rattling investors with their feud over how to manage the sovereign-debt crisis.

German Chancellor Angela Merkel and Deutsche Bank AG Chief Executive Officer Josef Ackermann, both of whom are airing their views at the World Economic Forum in Davos, Switzerland, this week, have disagreed publicly over who should bear the costs of future bailouts, international banking regulation and a German tax on nuclear-power producers.