Credit Suisse shares jumped more than 30 percent when markets opened early Thursday, as investors appeared reassured by the offer of a major cash lifeline for the lender from Switzerland’s central bank.
The rally came after Credit Suisse said early Thursday that it would borrow up to $53.7 billion from Switzerland’s central bank to support its business, amid continued fears of market contagion from the collapse of Silicon Valley Bank. The troubled Swiss bank is much larger and more enmeshed in the global financial system than SVB and Signature Bank of New York.
European markets rose, with major indexes up between 1.4 and 2.4 percent shortly after 9 a.m. in central Europe. However Asian equities sold off, with Hong Kong’s Hang Seng Index and Japan’s bank-heavy Topix down about 1.6 and 1.2 percent, respectively, as of market close.
