Moody's keeps negative outlook for German banking system

Oct 19 (Reuters) - Moody's Investors Service said the outlook for Germany's banking system remained negative, citing margin pressure due to intense competition, limited loan growth, Europe's recession and deteriorating asset quality.

"Moody's says that intense competition and low interest rates are causing margin pressure that will likely further erode the banks' already-weak revenues and profits over the 12-18 month outlook period," the rating agency said in a report.