European banks are still alive. The obituaries for the likes of Deutsche Bank may have already been written but the last few days and weeks have seen a resurrection as lenders' share prices stage a recovery and European bank earnings for the third quarter have come in surprisingly robust.
Deutsche Bank defied expectations Thursday by posting a small profit versus an anticipated net loss for the quarter -- thanks to its global markets division clocking up a 10 percent increase in revenues. Barclays meanwhile saw a 40 percent increase in revenues from bond trading. Royal Bank of Scotland's corporate and institutional banking division had "a blowout performance" according to an analyst at Investco, with the bank's rates department profits rising 117 percent from last year.
This echoes similarly strong showing from the U.S. banking sector this quarter as lenders around the world benefited from the frantic weeks of trading following the Brexit vote.