Credit Suisse Outlook Cut by S&P Global on Management Shuffle, Run of Losses
- S&P cites management reshuffling, lack of clear strategy
- Moody’s downgrades senior unsecured debt to Baa2 from Baa1
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Credit Suisse Group AG shares slumped after the bank’s credit outlook was cut to negative by S&P Global Ratings and its senior debt was downgraded by Moody’s Investors Services, signaling that management changes announced last week are failing to shore up investor confidence.
S&P revised the outlook to negative from stable, while Moody’s downgraded the lender’s senior unsecured debt to Baa2 from Baa1. Later Tuesday, analysts at Swiss asset manager Vontobel Holding AG lowered its price target for the bank’s shares, citing “stunningly weak” performance at the key wealth management division.