Stocks cut losses after report Credit Suisse, Swiss authorities are in talks
U.S. stocks trimmed sharp losses Wednesday afternoon following a report that Swiss authorities and Credit Suisse held talks aimed at stabilizing the troubled lender. Bloomberg, citing people familiar with the matter, said CS leaders and government officials have discussed options that ranged from a public statement of support to a potential liquidity backstop.
Ideas also discussed included a spinoff of the Swiss unit or a tieup with rival UBS Group AG, the report said, adding that people involved cautioned it was unclear what, if any, measures would be executed. The Dow Jones Industrial Average DJIA, -1.23%, was off 331 points, or 1%, after falling more than 700 points at its session lows. The S&P 500 SPX, -1.05% was dwon 0.8%, while the Nasdaq Composite COMP, -0.31% was off less than 0.1%.
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