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Breakingviews – Credit Suisse bump trade looks over-optimistic
Breakingviews - Credit Suisse bump trade looks over-optimistic,Investors in Credit Suisse’s bombed-out stock are getting a little ahead of themselves. Despite losing more than 60% of their value on Monday morning, following a government-backed deal with UBS announced the previous evening, the bank’s shares closed at just over 0.82 Swiss francs($0.9). At that level, they’re 7% above the implied value of UBS’s offer, and a wider 13% using the lenders’ U.S.-listed shares, which trade until later in the day.

Breakingviews – Credit Suisse bump trade looks over-optimistic

Investors in Credit Suisse’s bombed-out stock are getting a little ahead of themselves. Despite losing more than 60% of their value on Monday morning, following a government-backed deal with UBS announced the previous evening, the bank’s shares closed at just over 0.82 Swiss francs($0.9). At that level, they’re 7% above the implied value of UBS’s offer, and a wider 13% using the lenders’ U.S.-listed shares, which trade until later in the day.