Another session to forget for the Ftse Mib, knocked out
- like the rest of the European stock exchanges - by the collapse of Credit Suisse.
To affect the unavailability of Saudi shareholders to a new injection of liquidity in the event of further requests.
The blue chip index, on which the banking sector has a certain weight, leaves ground at 4.61% at 25,565 points, burning over 27 billion in terms of capitalisation.
Deep red Wednesday for the European stock exchanges overwhelmed by the collapse of Credit Suisse which loses the support of Saudi shareholders in the event of new requests for liquidity.
After the collapse at the beginning of the week due to the collapse of the Californian Svb, the lists of the Old Continent send 355 billion in terms of capitalization up in smoke.
Among the individual price lists, Frankfurt lost 3.27% (Dax 14,735 points), London 3.83% (Ftse 100 7,344 points), Paris 3.58% (Cac 40 at 6,885 points).
ECB: analysts cut estimates, rise by only 25 points
The ECB will only raise rates by 25 basis points at tomorrow's meeting, and not by 50 as expected.
This is the latest estimate by Bloomberg Economics analysts, who changed their previous forecast by 50 points after the storm on the stock markets triggered by the collapse of the Credit Suisse stock.
Already yesterday some analysts, including those of Deutsche Bank, had begun to cut estimates on rate hikes.
Oil crash in New York
, where prices collapse by 6.9% to 66.42 dollars a barrel.
The decline is the largest in six months.
"We are monitoring the situation, the impact on the EU seems contained but we should reflect on the lessons to be learned for the European banking sector", said EU Commissioner for Financial Services Mairead McGuinness speaking to the Eurochamber on the effects of the Silicon Valley crash Bank
.
"Together with regulators we are monitoring developments and that includes a market reaction that was initially negative but has since subsided."
CREDIT SUISSE
Default Certificates Towards Thousand Points -
Credit Suisse's default insurance certificates (credit default swaps) are approaching the critical threshold of one thousand points, which indicates a serious threat to the Group's going concern.
In particular, the one-year certificates rose yesterday to 835.9 basis points, according to the Cmaq platform, on the all-time highs, and are worth 18 times the similar derivative securities of the rival Ubs and about 9 times those of Deutsche Bank.
Saudis rule out further financial support
- Credit Suisse's largest shareholder has ruled out providing further assistance to the Swiss bank due to regulatory issues.
This was reported by Bloomberg citing an interview with the president of the Saudi National Bank, Ammar Al Khudairy.
The answer "is absolutely not, for many reasons. Some of these are of a regulatory and statutory nature", highlights Al Khudairy in an interview with Bloomberg TV, answering a question whether the bank is willing to support Credit Suisse in the event of a further liquidity request.
Saudi National Bank, which is 37% owned by the Saudi sovereign wealth fund, became Credit Suisse's largest shareholder late last year after buying a 9.9% stake in the Swiss lender.
What is happening to US banks
