European stocks rise amid easing tensions related to the banking sector

European banking stocks are rising after sharp losses last week

Published in:
Last updated:

European stocks jumped today, Monday, as some calm returned to the markets after a week of turmoil over concerns about the stability of the banking sector in the wake of the collapse of Credit Suisse and two medium-sized US banks.

The pan-European STOXX 600 rose 0.9% after news of a deal through which First Citizens Bankers would take over deposits and loans of Silicon Valley gave investors a sense of relief.

And European banking shares rose 0.9%, after recording losses of 3.8% on Friday, when the decline in shares of “Deutsche Bank” raised concerns in the sector. Shares of the German bank rose 3.3% after plunging 8.5% on Friday, according to Archyde.com.

Shares in Swiss bank UBS, which acquired smaller rival Credit Suisse in a bailout deal last week, fell 0.8% to trade down nearly 15% from their highs in early March.

Shares of “Credit Suisse” compensated for some of the losses and rose 0.4% after the announcement of the Swiss Financial Market Supervisory Authority (FINMA) at the weekend that it is considering whether to take disciplinary action against the bank.

European stocks are looking to end the first quarter of the year on a high amid signs of economic resilience and hopes that central banks are close to halting monetary tightening cycles, but European banks are close to ending the quarter on a somewhat stable note amid banking sector turmoil.

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.