One Credit Suisse Analyst Says Bank’s Capital, Liquidity ‘Healthy,’ Another Warns of Impending Equity Raise

A general view of Credit Suisse in the Canary Wharf business district in London on Oct. 3, 2022. Dan Kitwood/Getty Images

Credit Suisse Group is dominating headlines Monday morning amid rising concerns over the Swiss bank’s financial health.

What Happened

Reports suggesting Credit Suisse could be battling liquidity issues sent the lender’s shares tumbling Monday morning. The bank’s credit default swaps, which provide investors with protection against financial risks and essentially measure how a company’s financial health is perceived by the market, soared to record levels.

Credit Suisse has faced questions over its risk management practices in the past. The bank has been plagued by a string of scandals and most notably took a $5.5 billion hit following the collapse of U.S. investment firm Archegos Capital.