ECB Officials Reportedly Probed Lenders About Credit Suisse Exposures

Joshua Ramos
Photo by FABRICE COFFRINI/AFP via Getty Images

Following the collapse of several US banks, The Wall Street Journal has reported on the current trouble with Credit Suisse bank. Additionally, reports indicate that European Central Bank (ECB) officials probed lenders about their Credit Suisse exposures. Moreover, today has seen European Banks take a massive hit in share prices.

Specifically, Credit Suisse has fallen more than 25% today, reaching a new all-time low. Additionally, shares in some of the largest banks in France and Germany have seen large falls. Ultimately, The Wall Street Journal has noted the potential regulator’s involvement needed to calm the situation.

Credit Suisse Bank CEO Reassures Their Liquidity Base is Strong
Source: BizBuzz

Credit Suisse Fall Continues Banking Worry

Just last week, the US saw two of its major banks completely collapse. Conversely, the failure of both Silicon Valley Bank and Signature Bank represented some of the largest bank closures since the 2008 financial crisis. Consequently, igniting a new form of panic from those in the sector.

Now, that panic has reached international waters, as the Wall Street Journal reported that ECB officials have probed lenders about Credit Suisse exposures. Moreover, the report comes alongside news of the bank’s plummeting prices today.

Credit Suisse has fallen more than 25% on Wednesday, reaching a new record low, according to the report. Moreover, the head of bank research at Dutch Lender ABN Amro, Joost Beaumont, said that “investors judge that this bank needs to be rescued,” to the Wall Street Journal.

“If regulators do not handle the Credit Suisse situation well, this will send shockwaves through the whole sector,” he added. Conclusively, stating, “to make matter worse, both sides of hte Atlantic have banking issues.”