{"id":64215,"date":"2022-11-23T10:36:32","date_gmt":"2022-11-23T15:36:32","guid":{"rendered":"https:\/\/olduvai.ca\/?p=64215"},"modified":"2022-11-23T10:36:32","modified_gmt":"2022-11-23T15:36:32","slug":"credit-suisse-craters-to-record-low-after-revealing-staggering-88-billion-bank-run","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=64215","title":{"rendered":"Credit Suisse Craters To Record Low After Revealing Staggering $88 Billion Bank Run"},"content":{"rendered":"
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Credit Suisse Craters To Record Low After Revealing Staggering $88 Billion Bank Run<\/a><\/h3>\n<\/header>\n
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One month ago, weeks before the crypto sector was shaken by the crushing FTX bankrun which led to a quick and painful bankruptcy, and revealed that one of the world’s biggest crypto exchanges and its “JPMorgan-esque” owner were nothing but hollow shells of fraud, another bank was suffering from a far bigger bank run.<\/p>\n

Readers will recall that in mid-October\u00a0we reported\u00a0<\/a>that the Fed was quietly wiring over increasingly greater amount of dollars to the Swiss National Bank – which eventually peaked at around $11 billion weekly – which in turn was then using these dollar swap lines to plug funding holes within one or more Swiss commercial banks.<\/p>\n

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One didn’t need to be a rocket surgeon to figure out that the bank in question was Credit Suisse, which had seen its stock tumble amid a relentless barrage of scandals, corporate mistakes and the occasional fraud (that we know of), and which we said was likely suffering from a painful behind-the-scenes bank run.<\/p>\n

Fast forward one month, when this morning the 2nd largest Swiss bank confirmed our worst-case speculation, admitting that it had just gone through a staggering bank run in which\u00a0clients pulled as much as 84 billion Swiss francs, or $88.3 billion, of their money from the bank during the first few weeks of the quarter,\u00a0<\/strong>underlining ongoing concerns over the bank\u2019s restructuring efforts after years of scandals.<\/p>\n

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Of course, as FTX learned the hard way, bank runs don’t have a happy ending, and the Zurich-based bank warned on Wednesday that\u00a0it will face a loss of up to 1.5 billion Swiss francs ($1.6 billion) for the three final months of the year,\u00a0<\/strong>in large part as a result of the decline in wealth and asset management client funds from the start of October to Nov. 11…<\/p>\n

\u2026click on the above link to read the rest\u2026<\/p>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Credit Suisse Craters To Record Low After Revealing Staggering $88 Billion Bank Run One month ago, weeks before the crypto sector was shaken by the crushing FTX bankrun which led to a quick and painful bankruptcy, and revealed that one of the world’s biggest crypto exchanges and its “JPMorgan-esque” owner were nothing but hollow shells […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[2086,4513,4318],"class_list":["post-64215","post","type-post","status-publish","format-standard","hentry","category-economics","tag-bank-run","tag-credit-suisse","tag-zerohedge"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/64215","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=64215"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/64215\/revisions"}],"predecessor-version":[{"id":64216,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/64215\/revisions\/64216"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=64215"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=64215"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=64215"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}