LONDON, Sept 30 (Reuters) - Deutsche Bank could pay about $6billion to settle charges related to its sale of toxic mortgagebonds before the financial crisis, analysts at Morgan Stanleyestimated in a note to clients.
Germany's largest lender said about two weeks ago it wouldfight a $14 billion demand from the U.S. Department of Justiceto settle claims it missold the securities.
Talk of a smaller-than-expected fine bounced Deutsche Bankshares sharply off their lows on Friday to end the day up 6.4percent. Its U.S. listing was up more than 12.6 percent.
A $6 billion fine would keep Deutsche Bank's fully loadedcommon equity tier 1 ratio above 10.5 percent. Morgan Stanleysuggested a settlement would be agreed before the U.S.presidential election.
An agreement between Deutsche and the U.S. Department ofJustice (DOJ) could be announced in the next couple of days, theAFP reported, citing sources.
Credit Suisse and Barclays are reported to be in mortgagesettlement talks with the DoJ. (Reporting by Vikram Subhedar; Editing by Ruth Pitchford)
Barclays (BARC)