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. Last Updated: 07/27/2016

Credit Suisse Hit By Russia Crisis




ZURICH, Switzerland -- Credit Suisse Group shares fell as much as 2.9 percent after a newspaper report said its investment banking unit may have lost between $500 million and $1.5 billion as a result of financial turmoil in Russia.


Shares in Europe's sixth-biggest bank fell as much as 9 Swiss francs to 302.5 francs ($201), bringing the decline in the past three weeks to 21 percent. During that time, the Bloomberg Europe 400 Financial Index has fallen about 7 percent.


Credit Suisse declined to comment on the report in Britain's Independent newspaper, which cited debt market sources. The report comes amid doubts about Russia's ability to repay its debts. Clients of the Credit Suisse First Boston unit, account for 40 percent of foreign holders of ruble debt. "This is such a volatile situation that it might be difficult for the bank itself to know what its exposure is," said Neil Crowder, analyst at Goldman, Sachs & Co., which Thursday removed the Credit Suisse shares from the bank's recommended list.