European markets to open higher after Credit Suisse drama as investors split on central bank rate hikes March 21, 2023 European markets are set to open higher on Tuesday as investors bet that banking turmoil will put a halt to central banks’ battle to contain inflation The FTSE and Frankfurt’s DAX were called up 0.59 per cent while the CAC in Paris was called up 0.47 per cent. After the drama of the past few [...]
FTSE 100 closes up as investors hope Credit Suisse deal will contain banking crisis March 20, 2023 Markets managed to shrug off turmoil in the banking sector to finish the day higher despite huge turmoil in the financial sector. The FTSE 100 closed 0.93 per cent higher at 7,403.85 points, while the domestically-focused mid-cap FTSE 250 index, which is more aligned with the health of the UK economy, climbed 0.13 per cent [...]
UBS and Credit Suisse face legal threats after bond wipeout and shareholder bypass March 20, 2023 UBS and Credit Suisse are facing potential legal action from investors after the controversial tie-up between the two banks bypassed a vote by shareholders and wiped out $17bn of Credit Suisse bonds.
Credit Suisse set to pay bonuses and boost salaries despite UBS takeover March 20, 2023 Credit Suisse is reportedly set to pay out bonuses and go ahead with planned salary increases for its staff despite the dramatic acquisition of the bank by UBS over the weekend. In an internal email sent to members of staff and seen by the Financial Times, the beleaguered lender said it “will continue to allocate [...]
Bank of England confirms AT1 bondholders priority over shareholders as it proclaims UK banks ‘safe and sound’ March 20, 2023 The Bank of England confirmed the pecking order in which investors would be paid out if a bank went bust as it sought to reassure markets about the stability of the UK’s financial system. In a statement released today, the UK central bank confirmed that alternative tier 1 (AT1) bondholders would be prioritised over shareholders [...]
Banking crisis: Thousands of City jobs at risk with UBS set to ‘downsize’ Credit Suisse investment bank division March 20, 2023 Thousands of jobs in the City are at risk after UBS’s dramatic acquisition of Credit Suisse last night, with Credit Suisse’s investment banking division at the heart of discussions. The Swiss banking stalwarts employ some 11,000 people in London, including a high concentration of their investment banking units which were already facing potentially hefty job [...]
Banks recover morning losses as markets digest Credit Suisse-UBS merger March 20, 2023 Shares in UBS were trading over 5 per cent down around midday on Monday, having traded nearly 10 per cent lower earlier in the day, after it completed its emergency acquisition of Credit Suisse over the weekend. Although many European banks were trading lower in the morning, most had recovered some of their losses shortly [...]
Gold price tops $2,000 and Bitcoin gets a bump as investors scramble for safety after Credit Suisse rescue March 20, 2023 Gold prices have climbed near record highs and topped $2000 for the first time in over a year this morning as investors scramble for steady ground following UBS’s rescue of Swiss rival Credit Suisse.
First Silicon Valley Bank, then Credit Suisse, and now Signature Bank is bought out for £2.2bn March 20, 2023 New York Community Bank has agreed to buy a significant chunk of the failed Signature Bank in a 2.7 billion dollar (£2.2 billion) deal, the Federal Deposit Insurance Corp (FDIC) said late on Sunday. The 40 branches of Signature Bank will become Flagstar Bank, starting on Monday. This comes after UBS agreed to purchase beleaguered [...]
Banking crisis and Fed’s credit line: how does it work and how concerned should we be? March 20, 2023 Central banks around the world announced last night that they were taking steps to improve access to liquidity in the financial system. In a coordinated move reminiscent of Covid in 2020 and the financial crisis in 2008, central banks in the US, the eurozone, Britain, Japan and Canada announced new measures to calm financial markets. [...]