Credit Suisse Stock Surges After Swiss National Bank Loan and Debt Buyback Announcement

Shares of Credit Suisse surged Thursday after the bank said it would tap a loan from the Swiss National Bank, followed by an announcement it would buy back 3 billion Swiss francs worth of its debt.[0] The loan from the Swiss National Bank, which is worth 50 billion Swiss francs ($54 billion), is part of the bank’s plan to strengthen its liquidity and shore up investor confidence.[1]

The stock surged 32% in opening trade, rallying as the Swiss banking giant said it would tap its central bank for 50 billion francs and launching an offer to buy beaten-up debt.[0] Credit Suisse’s bonds also rose, but they have a lot of ground to catch up after investor confidence in the bank crumbled this week.[2]

On Thursday, the Swiss National Bank declared that it would offer liquidity to Credit Suisse, subject to the provision of appropriate collateral.[3] This led to a conversation between the Swiss National Bank and the financial regulator FINMA, who announced last evening that the SNB would supply liquid funds “if needed”.[4]

These measures demonstrate decisive action to strengthen Credit Suisse as it continues its strategic transformation to deliver value to its clients and other stakeholders.[5] Neil Shearing, chief economist at Capital Economics, wrote in a note to clients that the problems at Credit Suisse are very different to those that brought down Silicon Valley Bank a few days ago.[6] However, he warned that as interest rates rise, vulnerabilities are lurking in the financial system, and that key areas to monitor are smaller European banks and shadow banks.[6]

At the beginning of trading, an index of Europe's bank stocks increased 3.3%, causing a rally in European bank shares.[3] Live updates of what’s moving markets, including the Dow, S&P 500 and Nasdaq Composite, are available to track the latest stock market news and in-depth analysis.[2] The European Central Bank will also announce its interest rate decision later today at 1.15pm GMT.[7]

0. “Credit Suisse shares jump after saying it will borrow from SNB and buy back debt” MarketWatch, 16 Mar. 2023,

1. “Credit Suisse, First Republic, Snap, Adobe, UiPath, and More Stock Market Movers” Barron's, 16 Mar. 2023,

2. “Stock Market Today: Credit Suisse Shares Leap; Dow Futures Edge Down” The Wall Street Journal, 16 Mar. 2023,

3. “Credit Suisse stocks recover live updates: Swiss National Bank announces support, European markets up” AS USA, 16 Mar. 2023,

4. “Nouriel Roubini says Credit Suisse may be too big to save, risks ‘Lehman moment'” Markets Insider, 15 Mar. 2023,

5. “‘The weakest links are cracking': Investors consider possible Credit Suisse contagion” CNBC, 16 Mar. 2023,

6. “Credit Suisse's $50 billion lifeline calms panic over banks” CNN, 16 Mar. 2023,

7. “Futures Rally Evaporates as Banking Woes Linger: Markets Wrap” Yahoo News, 16 Mar. 2023,

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