9:54 AM · 16 March 2023

Credit Suisse shares 30% up after liquidity guarantee from SNB

Thursday's session on equity markets sees Credit Suisse (CSGN.CH) shares up nearly 30%, having yesterday received a guarantee of support from the SNB and FINMA. The Swiss bank will borrow nearly 50 billion Swiss francs from the central bank, of which 39 billion francs are to be used immediately. Nearly 3 billion francs are to be used to buy its own bonds from the market to strengthen the Bank's positions and calm fears around the Swiss giant. 

The reaction has also highlighted spreads on the Bank's CDS, which are losing sharply from yesterday's astronomical run. As reported by JP Morgan, that it reiterates an 'overweight' rating on Credit Suisse bonds and adds that SNB support will give time for the Bank's restructuring to be fully fledged.  Source: Bloomberg

The Bank's shares gained sharply at the start of today's session and erased all of yesterday's losses. The upward impulse was stopped for the moment by the limit set by the EMA50 on the H1 interval. Source: xStation 5

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