The calm in the global stock market was once again threatened following the emergence of the Credit Suisse issue that disrupted the European and New York sessions yesterday (Wednesday).
US equities suffered heavy losses early in the session, with the Dow Jones Industrials falling 725 points and the S&P 500 losing all of its gains this year.
The US30 index fell to its lowest level since October 2022 at 31,385.
What exactly happened?
Credit Suisse's largest investor, the Saudi National Bank announced it could not provide further funding support for the Swiss investment giant.
This follows Credit Suisse's disclosure of certain material weaknesses in their internal controls for financial reporting from 2021 to 2022.
The news caused US-listed Credit Suisse shares to fall nearly 14%.
Even so, towards the end of the trading session, US stocks gained ground after the Swiss government reportedly held talks to stabilize Credit Suisse.
Although the situation seems to be easing, but concerns still plague the market which fears that more of the global banking sector will be affected.
As a result, the three main US indices closed mixed where the Dow Jones Industrial lost 0.87% at 31,874.58, while the S&P 500 fell 0.70% at 3,891.92 and the Nasdaq was positive at 11,2251.32 with an increase of 0.42%.
The US30 index was little changed in the Asian session, around 31,925.
