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Therese Raphael

Deutsche Bank's Troubles Touch a Nationalist Nerve

Germans are good Europeans -- until a national champion is in trouble.
National champion.

National champion.

Photographer: Martin Leissl/Bloomberg

The International Monetary Fund warned three months ago that Deutsche Bank posed a potential systemic threat to the global financial system. Today the problems facing Germany's largest lender are fueling a different kind of risk: that of a growing nationalist backlash in Germany.

On Monday, the chairman of the German parliament's economics committee Peter Ramsauer gave an interview to Welt am Sonntag in which he called the $14 billion fine over Deutsche Bank's mortgage-backed securities business dating back to the financial crisis "extortionate" and said the fine "has the characteristics of an economic war."