Global Stocks Dive After Credit Suisse Takeover

Global stock markets sank Monday, Mar. 20, 2023, after Swiss authorities arranged the takeover of Credit Suisse amid fears of a global banking crisis ahead of a Federal Reserve meeting to decide on more possible interest rate hikes, Joe McDonald reported for the Associated Press (AP).

Photo Insert: UBS is said to be buying Credit Suisse for over $3 billion.

Hong Kong’s main index slid more than 3%. Market benchmarks in Frankfurt and Paris opened down more than 1%. Shanghai, Tokyo and Sydney also declined. Wall Street futures were off 1%.

Oil prices plunged more than $2 per barrel. Frankfurt’s DAX fell 1.3% to 14,768.20 and the CAC 40 in Paris lost 1.4% to 6,925.40.

On Wall Street, the future for the benchmark S&P 500 index was off 1%. That for the Dow Jones Industrial Average was down 1.2%. On Friday, the S&P 500 lost 1.1%. Dow fell 1.2% and the Nasdaq composite lost 0.7%.

In Asia, the Hang Seng in Hong Kong tumbled 3.3% to 18,879.20 and the Nikkei 225 in Tokyo shed 1.4% to 26,945.67.

The Shanghai Composite Index lost 0.5% to 3,234.91. The Chinese central bank on Friday freed up more money for lending by reducing the amount of their deposits commercial lenders are required to hold in reserve.

The Kospi in Seoul retreated 0.7% to 2,379.20 and Sydney’s S&P-ASX 200 lost 1.4% to 6,898.50. India’s Sensex lost 1.4% to 57,177.69. New Zealand and Southeast Asian markets also declined.

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