“While there has been a heightened level of media and market speculation about the potential outcome over the past days, the bank is committed to providing further details on the progress of the strategic review…”
100 days, they asked.
This was the plea of the new chief at the investment bank, plagued by recent scandals and bad investment decisions. 100 days to finalize the revamp of the bank. Sell divestitures, underperforming investments, etc. Repurpose. Ulrich Korner took office on 01 August 2022, replacing Thomas Gottstein who presided over a tumultuous two years at the helm of the bank. Thomas Gottstein oversaw a period of heavy losses and damaging scandals that left the bank fighting for its existence.
Its defunct might have been exaggerated but it is no secret that the bank has lost the confidence of some in the market, as highlighted by the declining stock price, year-to-date. Animated analysts have even compared the ”looming” doomsday to the 2008 bank run. Bringing back memories of a dark period in our global economy fueled by corporate greed and the concept of moral hazard.
Credit Suisse has said they will provide more information on their financial position on 27 October when they released their quarterly results. Short sellers are already betting against the stock as they anticipate the bank will reveal more losses to date. One thing is for sure, a seismic collapse of this size could put us in a global recession akin to 2008.
