After her collapse Silicon Valley Bank and Signature Bank in the US, the stock of Swiss bank Credit Suisse followed suit, losing about 30% of its value in a matter of hours. “Leaders and supervisors must realize their share of responsibility,” comments Frankfurter Allgemeine Zeitung. “After the turmoil around Silicon Valley Bank, politicians and financial regulators repeated over and over again that there was no risk of contagion and that the big banks were now much more resilient. But the storm is not over yet, as the fall in Credit Suisse stock showed. This time, a large bank is very much at risk, and which, due to strict capital and liquidity requirements, was considered sufficiently protected.” THE FAZ he also estimates that “if the bank collapses, it could trigger a financial crisis like the one that followed the collapse of Lehman Brothers in 2008, given its size and importance in the capital market. Then the resilience of the banks will be put to a serious test.”

For its part, the economic newspaper Handelsblatt points out that “the bank crisis is a special case, but that does not make it any less threatening. When the head of a major bank has to give assurances about its financial stability, as Ulrich Koerner, chief executive of Credit Suisse, did, it usually means the news is bad. […]

Kerner also said that the Credit Suisse case cannot be compared to the collapse of Silicon Valley Bank, which has rocked markets around the world for a week. And he is right, but unfortunately it is of no use in this regard. The Credit Suisse crisis is “homemade” and also an isolated case in the European banking landscape due to a toxic mix of chronic control weaknesses, sloppy risk management and flawed strategy. But that doesn’t make the case any less dangerous.”

Finally, the HB he also emphasizes that after the developments with Silicon Valley Bank, the conditions in the banking industry are worsening and distrust towards institutions is returning. “The case of Credit Suisse also proves this. Ammar Al Qudayri, chairman of Saudi National Bank, is “responsible” for the drop in Credit Suisse’s stock after he said his bank, as a major shareholder, could not increase its stake in the Swiss financial institution even if it wanted to , because regulatory reasons prevented it from doing so. The Saudi banker thus simply referred to something that is a fact. This failed to change the dramatic reaction from investors, with the development of the case a warning sign for all European banks, even if, in fact, they have nothing to do with Credit Suisse’s problems.”