Credit Suisse says it will move to shore up its finances, borrowing up to $54 billion from the Swiss central bank.
Catch up on the developing stories making headlines.Swiss bank Credit Suisse said Thursday it will move to shore up its finances, borrowing up to $54 billion from the central bank after its shares plunged, dragging down other major European lenders in the wake of bank failures in the United States.
The share price hit a record low after the bank's biggest shareholder — the Saudi National Bank — told news outlets that it would not put more money into the Swiss lender, which was beset by problems long before the U.S. banks collapsed. The Saudi bank is seeking to avoid regulations that kick in with a stake above 10%, having invested some 1.5 billion Swiss francs to acquire a holding just under that threshold.
Switzerland’s central bank announced late Wednesday that it was prepared to act, saying it would support Credit Suisse if needed. A statement from the bank did not specify whether the support would come in the form of cash or loans or other assistance. The regulators said they believed the bank had enough money to meet its obligations.
The stock has suffered a long, sustained decline: In 2007, the bank's shares traded at more than 80 francs each. &P 500 dropped 0.7%. The Dow Jones Industrial Average ended 0.9% lower after logging bigger losses early in the session. He noted, however, that the bank's “problems were well known so do not come as a complete shock to either investors or policymakers.”
Singapore Latest News, Singapore Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Credit Suisse to borrow up to about $54 billion from Swiss National BankCredit Suisse announced it will be borrowing up to 50 billion Swiss francs ($53.68 billion) from the Swiss National Bank under a covered loan facility and a short-term liquidity facility.
Read more »
Credit Suisse to borrow up to nearly $54 billion from Swiss National BankCredit Suisse announced it will be borrowing up to 50 billion Swiss francs ($53.68 billion) from the Swiss National Bank under a covered loan facility and a short-term liquidity facility.
Read more »
Credit Suisse to borrow about $54 billion from Swiss central bankCredit Suisse announced late Wednesday it was taking “decisive action” and borrowing up to 50 billion Swiss francs — about $54 billion — to ease investors’ fears.
Read more »
Credit Suisse to borrow $54 billion from Swiss central bankGENEVA (AP) — Swiss bank Credit Suisse said Thursday it will move to shore up its finances, borrowing up to $54 billion from the central bank after its shares plunged, dragging down other major European lenders in the wake of bank failures in the United States.
Read more »
Credit Suisse to borrow up to $54 bln as it seeks to calm investor fearsCredit Suisse on Thursday said it was taking decisive action to strengthen its liquidity by borrowing up to $54 billion from the Swiss central bank after a slump in its shares intensified fears about a broader bank deposit crisis.
Read more »
Credit Suisse to borrow up to $54 billion from Switzerland's central bankCredit Suisse is borrowing from the Swiss National Bank under a covered loan facility.
Read more »