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Earnings reports from some of Europe’s top banks show the scars of the eurozone crisis, with big losses on Spanish property and the fragile economic recovery likely to dampen an investment banking rebound.
Among them, Deutsche Bank reported pre-tax profits of nearly two billion euros, down from three billion the year before. And profits at Spain’s Santander fell to 1.6 billion euros.
In contrast, Barclays beat market forecasts by posting a 22% profit rise. But despite that exception, European banks overall are fighting the effects of continuing economic instability in the region.