Monday 3 October 2022 07:57 PM Credit Suisse share price slides amid market turmoil trends now
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Credit Suisse shares crashed to a record low on Monday after a bid by bosses to calm investors over the health of the Swiss bank backfired.
Traders and bankers rushed to buy Credit Default Swaps (CDS) - an insurance tool if the company goes bust - after its share price dropped by 10 per cent.
Senior executives of the company called its biggest clients to reassure them that its position was safe and secure, according to the Financial Times.
And last week chief executive Ulrich Koerner said the bank had a 'strong capital base and liquidity position'.
He urged employees not to confuse the 'day to day stock price' with the company's underlying performance.
Credit Suisse's five-year CDS's rose by 100 basis points - otherwise known as a levy or interest rate on a contract - which is the highest they have been since the financial crisis since.
At the same time its share price hit historic lows on Monday.
Traders and bankers rushed to buy Credit Default Swaps (CDS) - an insurance tool if the company goes bust - after its share price dropped by 10 per cent
Reassurance: Chief executive Ulrich Koerner said the bank had a 'strong capital base and liquidity positions
Credit Suisse shares have lost 25 per cent of their value in the past three weeks.
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