Credit Suisse rescue eases market jitters

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European shares rise as UBS agrees to take over rival via IrishTimesBiz

had risen 1.29 per cent to €91.36, while packaging manufacturerhad added 2.72 per cent to €14.375 around the same time. Dealers noted that airlines performed well on Monday.Miners led Europe’s recovery on Monday, boosting London’s blue chip FTSE-100 where many of them are listed in the process. Chilean copper minerrose 4.87 per cent to 2,626p.gained 3.86 per cent to 449.35p after analysts at Bank of America and UBS upgraded the stock.

Dealers said investors were weighing whether Credit Suisse’s problems were isolated or the tip of the iceberg. “The verdict seems to be that people are reasonably happy with the way things worked out,” said one. Credit Suisse’s ongoing problems combined with the failure of two US lenders this month frayed investors’ nerves.The 3 billion franc price that UBS is paying is a 60 per cent discount on Credit Suisse’s Friday closing price.US

US shares nudged up as optimism that investors have swerved another banking crisis grew on Wall Street. The Dow Jones Industrial Average was up more than 1 per cent in early trade, while the S&P 500 rose at a similar pace. Regional lenders clawed back losses sparked by last week’s collapse of Silicon Valley Bank. However, reports indicated that investors believe US regulators may have to take yet more action to shore up confidence in the sector.

 

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