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Deutsche Bank, elections, earnings, economy: Many October surprises for markets

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How low can Deutsche go?

Financials and the market could stay under pressure, as September winds down and traders fear Deutsche Bank could become the market's October surprise.

Several strategists said Deutsche Bank is on the list, along with the U.S. presidential election, as a market concern in October. There is also the onset of earnings season and the usual calendar of economic reports that could influence the Fed's interest rate decision at its meetings in both early November and December.

The Deutsche Bank story, which rippled across markets Thursday, has been moving to the fore as a risk because of fear of contagion. Strategists don't see a systemic risk, and they expect the German bank to come to some type of agreement with the U.S. Justice Department, which is seeking $14 billion for Deutsche's role in the mortgage-backed securities market. They see the biggest European bank finding some way to raise capital, first through selling assets, then rights or some other capital raise. The German government so far is standing back from helping Deutsche.