Posted on 10/02/2022 4:40:49 PM PDT by EBH
(Reuters) - Credit Suisse executives spent the weekend reassuring large clients, counterparties and investors about its liquidity and capital position, the Financial Times reported on Sunday.
A spokesman for Credit Suisse declined to comment on the report when contacted by Reuters.
Executives made the calls after spreads Credit Suisse credit default swaps (CDS), which offer protection against a company defaulting, rose sharply on Friday in an indication of investor concerns, the newspaper said.
Credit Suisse five-year credit default swaps (CDS) jumped 6 basis point to close to 247 bps on Friday, the highest level in at least 10 years, S&P Global (NYSE:SPGI) Market Intelligence data showed.
Credit Suisse CDS began the year at 57 bps.
The Financial Times said that a Credit Suisse executive denied reports that the bank had formally approached investors about potentially raising more capital, insisting that it was trying to avoid such a move with its share price at record lows and higher borrowing costs due to rating downgrades.
The Swiss bank's chief executive Ulrich Koerner told staff in a memo seen by Reuters on Friday that it has solid capital and liquidity.
The bank also said last month it was pressing ahead with a review that includes potential divestitures and asset sales.
who is shorting
The UK will probably crash in the next two weeks. Truss and crew are pissing off the bond vigilantes.
A relatively small amount of $5000 I had with Deutsche Bank.... I closed it out yesterday and moved the money to a Fidelity Treasuries MM.
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Credit Suisse And Deutsche Bank At Distressed Valuations: Which Bank Should You Avoid?
Oct. 01, 2022 12:02 PM ETCredit Suisse Group AG (CS), DB94
Both CS and DB are trading at distressed valuation.
CS will have to go through a painful restructure.
DB is already delivering and benefits from interest rate tailwinds.
Investors should avoid CS and buy DB.
It’s almost like a self fulling prophecy at this point, CDS on the rise, another Lehman and Bear Sterns Moment, so will the Swiss bail out CS?
Everyone else
Pension funds a bigger risks than banks. TU central banks are playing with fire
We are so screwed.
Soros. Its how he made his billions. But the product of the movie is the credit swap.
Bad.
Very bad.
Lehamn bros x3 bad.
Dow is up! Seems like no one is even looking.
Fed meeting today at 11:30am
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