Credit Suisse on Thursday became the latest major bank to report a strong second quarter showing as its net profit rose by 29 percent to 1.57 billion Swiss Francs ($1.41 billion.) In a statement the Swiss banking giant attributed its performance to a “reduced-risk business model providing the basis for more sustainable, high-quality, lower volatility earning.” Its Investment banking arm, which incurred much of the blame for the bank’s record losses last year, weighed in with pre-tax profits of 1.66 billion Swiss Francs ($1.55 billion). Overall earnings rose by 10 percent to 8.6 billion Swiss Francs ($8.07 billion) from 7.7 billion Swiss Francs ($7.2 billion) a year earlier.
Asian and Pacific markets tumbled on Tuesday, following a rocky day on Wall Street. The Nikkei average was down 3.4 percent at the midday break, while the All Ordinaries index in Australia had slipped 2.7 percent. In Seoul, the KOSPI slipped 1.9 percent and Hong Kong’s Hang Seng index was off 3.9 percent
Citigroup chief financial officer Ned Kelly was trying to explain an aspect of the bank’s better-than-expected first-quarter results on Friday morning when star analyst Meredith Whitney interrupted him. “Could you dumb that down for me?” she asked. It was the question of the week.
Historians looking for an early sign that the worst financial crisis since the Great Depression might be deeper than expected could do worse than listen in on a predawn teleconference one Friday last spring. Top Treasury and Federal Reserve Bank officials hunched over their phones in a last-ditch bid to bail out the giant investment bank Bear Stearns Cos.