Market Overview : April 2023

A crisis of confidence · 6 April 2023

«In order to contain inflation, central bankers need to tighten monetary policy until something breaks.» This old adage came to fruition in March. The failure of the Silicon Valley Bank generated a major shock wave through the entire financial system. In the United States, other banks disappeared in its wake and the American state had to intervene strongly in order to ensure the liquidity of the system. But it was in Switzerland that the backlash was the most brutal. After eroding the confidence of its customers and investors for many years, Credit Suisse collapsed. The state pushed UBS to buy the rubble in order to avoid a catastrophe for the Swiss economy and a likely destabilization of the entire European and global banking system.

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Market Overview : April 2023 Survol des marchés : avril 2023