Credit suisse's debt insurance

The bank’s shares tumbled to historic lows of below SFr3.60, down close to 10 per cent when the market opened, before paring losses and closing down 1.2 per cent at SFr3.96. While these levels are even higher than where the Swiss bank’s CDS traded in the 2008 financial crisis, a change to the contracts means the derivatives now reference a riskier class of debt that is more exposed to losses if the bank collapses. The bank was responding to a sharp spike in CDS spreads last week amid social media rumours about its financial resilience. ""Our position in this respect is clear.

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