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Deutsche Bank scraps crude oil notes

By Gregory Meyer in New York

Published: September 2 2009 03:00 | Last updated: September 2 2009 03:00

Deutsche Bank is scrapping a product that lets investors bet on oil prices, making it the first exchange-traded commodity product to go under as Wall Street braces for a potential regulatory crackdown on energy speculation.

The bank said it would redeem all of its PowerShares DB Crude Oil Double Long exchange-traded notes, which use leverage to double returns from price moves in crude oil. As of yesterday, there were $425m of such notes.

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