MADRID, Oct 4 (Reuters) – Santander’s (SAN.MC) Chief Government Officer Jose Antonio Alvarez mentioned on Tuesday that liquidity within the banking sector was “terribly excessive” and subsequently didn’t see contagion dangers within the sector.
“I do not assume there may be that capability for contagion,” he mentioned when requested concerning the scenario of Credit score Suisse.
On Monday, Credit score Suisse Group AG (CSGN.S) noticed its shares slide by as a lot as 11.5% and its bonds hit file lows earlier than clawing again among the losses amid issues concerning the lender’s capacity to restructure its enterprise with out asking for extra money.
“That is whether or not it’s systemic or not. I do not assume it has the capability with the degrees of liquidity within the system, not solely in Spain, however in all places there are terribly excessive ranges of liquidity,” he added.
Reporting by Jesús Aguado; modifying by Emma Pinedo
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