Deutsche Bank Surprises with Near-Record Profit; Apple Briefly Tops $5 Trillion Valuation

Deutsche Bank has surprised the market with a near-record profit in the second quarter, signaling a strong recovery for the German lender. The bank's pre-tax earnings reached 2.68 billion euros, only slightly below the figure from the record year of 2007. Net profit stood at 1.64 billion euros, a 10% increase from the previous year.

CEO Christian Sewing expressed confidence in exceeding the bank's 2028 targets, citing these strong results. He aims to increase the return on equity to over 13%, with the second quarter showing 11%. Sewing highlighted artificial intelligence (AI) as a key area for creating customer value and achieving cost savings. The investment banking division was a significant driver of growth, with its pre-tax profit soaring by nearly 60% to 1.3 billion euros in the second quarter.

In a separate development, Apple briefly achieved a market valuation of over $5 trillion, becoming the second company in history, after Nvidia, to reach this significant milestone. The tech giant's stock hit a record high of $342.89 per share during US trading. While the valuation later dipped slightly below the $5 trillion mark, Apple remains the most valuable company on the US stock exchange, ahead of chip specialist Nvidia.

The surge in Apple's valuation contrasts with recent market trends for AI chip companies, which have seen stock prices decline amid renewed doubts about the sustainability of the current boom in AI infrastructure. Apple's stock, however, has been on an upward trajectory. Meanwhile, Mercedes-Benz is navigating a challenging Chinese market by focusing on cost discipline.