Credit Suisse Group AG
A fire sale of stocks by a large U.S. investor burned Credit Suisse and Nomura Holdings Inc. The global investment banks said Monday that they could incur substantial losses after Bill Hwang’s firm Archegos Capital Management and its banks began liquidating huge positions in blue-chip companies. Large banks served as prime brokers to Archegos, processing the fund’s trades and lending it cash and securities. American depositary shares of Credit Suisse fell 12% Monday, while Nomura shares lost 14%.
Boeing got a boost from a new order Monday. Southwest Airlines Co. said it is buying 100 new Boeing 737 MAX jets, a win for the plane maker after suffering from a prolonged grounding of the troubled jet and fallout from the pandemic. The order also means Boeing will retain its lock on one of its most important airline customers. Southwest’s fleet is made up entirely of 737 jets, but the carrier had been re-evaluating that strategy. The nearly two-year grounding of Boeing’s 737 MAX jets followed two crashes that claimed 346 lives. Boeing shares rose 2.3% Monday.
Micron Technology Inc.