Swiss bank Credit Suisse shares dive then rebound | WORLD
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Swiss bank Credit Suisse shares dive then rebound

The Credit Suisse bank in Zurich, Switzerland in 2022 Associated Press/Photo by Ennio Leanza, Keystone file

Swiss bank Credit Suisse shares dive then rebound

Credit Suisse shares soared Thursday morning on news it would borrow from the Swiss national bank. But at one point on Wednesday, the shares had lost more than a quarter of their market value. The value of the shares plummeted by about 30 percent before clawing its way back to roughly 24 percent by end of the day. At its lowest price Wednesday, Credit Suisse stock was down roughly 85 percent compared to February 2021. The tumble followed a report from Credit Suisse on Tuesday saying it had found some weaknesses in its internal financial reporting.

What does this mean? Investors may be losing confidence in banks worldwide. In the United States, Silicon Valley Bank and Signature Bank have collapsed within the past week. When Credit Suisse began tumbling, it dragged stocks in some other European banks’ stocks down with it—for instance, France’s Societe Generale SA dropped 12 percent at one point.

Dig deeper: Read Jerry Bowyer’s column in WORLD Opinions about the no-confidence vote investors have given the U.S. economy for 2023.

Josh Schumacher

Josh is a breaking news reporter for WORLD. He’s a graduate of World Journalism Institute and Patrick Henry College.

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