By John O'Donnell and Philipp Halstrick
LONDON (Reuters) - Global credit markets are deep in the worst crisis of Deutsche Bank (DBKGn.DE: Quote, Profile, Research, Stock Buzz) chief Josef Ackermann's 30-year career, but he does not see any further writedowns for Germany's flagship bank.
"If you go back to the Asian crisis, the Latin American crisis, the Russian crisis, these were pretty regional," said Ackermann, who also heads global banking organization the Institute of International Finance.
"(This) is psychologically the worst crisis that I have seen in my 30 years," he told journalists at the Reuters Finance Summit.
"What is really new and unexpected is that we had a phase of excessive liquidity. It is not a shortage of liquidity. It is a shortage of demand. The liquidity was hoarded under the pillow."
Deutsche's shares, which had been trading almost 2 percent lower, turned into positive territory after Ackermann predicted no further writedowns beyond the 2.2 billion euros ($3.2 billion) it took in the third quarter.
"We said that we have taken the proper markdowns and given the situation yet we do not see further markdowns," he said.
Shareholders were also pleased to see him stand by his goal next year of a pretax profit of 8.4 billion euros ($12.3 billion).
"This is ... a remarkable statement given news flow over the past week of writedowns at Credit Suisse and Morgan Stanley," said David Williams, an analyst with Fox-Pitt, Kelton. Continued...
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