Avoiding contagion

Credit Suisse collapse shows need to focus on stability

The collapse of Credit Suisse, a storied Swiss institution only a few years younger than the Swiss Confederation itself, is at some levels hard to explain. There is no clear link between the troubles in the US banking sector — led by the problems at now defunct Silicon Valley Bank (SVB) — and questions about Credit Suisse. As pointed out last week by analysts at Citibank, there should be “limited read-across from the failure of Silicon Valley Bank” to banks in Europe, which, analysts said, “have less deposit concentration, are still seeing healthy deposit flows, operate with large liquidity portfolios,