(Credit Suisse) Shares of Credit Suisse fell 6% on Wednesday after saying it was likely to record a loss in its second quarter.
Credit Suisse blamed the war in Ukraine and the economic tightening, which it says has squeezed the lender. The bank says the impacts of a tighter economy have raised market volatility and weakened customer flows, especially in the APAC region.
The banking giant said that although it is benefiting from the rising volatility, the impacts of the macroeconomic conditions have hit the bank. The lender says it is also impacted by continued low levels of capital market issuance and growing credit spreads.
Credit Suisse further stated that its reported earnings would be impacted by volatilities regarding its 8.6% investment in Allfunds Group. Allfunds stock has plunged 52% year-to-date since launching on the Euronext Amsterdam in April 2021.
CSGN: SWX is down -6.02%.
