US stocks tumble on worries about Deutsche Bank

A pedestrian walks past a Deutsche Bank branch in Berlin, Germany, on Sept. 27, 2016.
A pedestrian walks past a Deutsche Bank branch in Berlin, Germany, on Sept. 27, 2016.PHOTO: BLOOMBERG

NEW YORK (AFP) - Wall Street stocks tumbled on Thursday (Sept 29) on renewed worries about banks following a report on withdrawals from Deutsche Bank and a bruising Capitol Hill hearing with the head of Wells Fargo.

At the closing bell, the Dow Jones Industrial Average was at 18,144.55, down 1.1 per cent.

The broad-based S&P 500 fell 0.9 per cent to 2,151.12, while the tech-rich Nasdaq Composite Index shed 0.9 per cent to 5,269.15.

US shares of Deutsche Bank sank 6.7 per cent following a report that about 10 hedge funds withdrew some funds from the German bank due to worries about the bank's condition.

Wells Fargo lost 2.1 per cent after chief executive John Stumpf was berated by lawmakers over a bogus accounts scandal, with some demanding he resign.

Other large banks, including Goldman Sachs and JPMorgan Chase, also retreated.