The euro was slammed lower against other major currencies on Friday as uncertainty over Deutsche Bank AG’s [d: xe:dbk] financial health increased and reignited fears of a new eurozone banking crisis. The shared currency slumped to $1.1182, its lowest trading level since last week and down from $1.1223 late Thursday in New York. The euro also fell against the pound , with sterling buying €1.1578, compared with €1.1554 on Thursday. “Deutsche Bank’s CDS (credit default swaps) rose to a historical high as investors see the counterparty risk mounting. The cash is flowing into the safe heaven assets as chatter about a potential systemic risk hit the wires,” said Ipek Ozkardeskaya, senior market analyst at London Capital Group in a note. Deutsche Bank shares tumbled in New York on Thursday on a report a group of hedge funds were reducing their exposure to the banking giant. The lender’s shares were down 5.5% in Europe on Friday morning.
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