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Credit Suisse Outlook Cut to Negative by S&P as Bonds Tumble

  • Archegos raises questions about risk appetite, S&P says
  • Swiss bank is said to expect losses in the billions of dollars
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WATCH: Credit Suisse expects its loss tied to the implosion of Archegos to run into the billions.Source: Bloomberg
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S&P Global Ratings downgraded its outlook on Credit Suisse Group AG to negative from stable, as the fallout from the Archegos Capital Management crisis impacts the Swiss bank’s debt and shares.

Credit Suisse is one of the most exposed banks to the family office of former hedge fund manager Bill Hwang, with potential losses from the unwinding of positions running into the billions of dollars, according to people with knowledge of the matter. The numerous lenders involved may see total losses in the range of $5 billion to $10 billion, according to JPMorgan Chase & Co.