Your Evening Briefing: ‘Irrational’ Investors Worry More Is Coming

The lightning-fast banking crisis has in two weeks claimed three mid-sized US banks, took a chunk out of a fourth and sent Credit Suisse into the arms of its neighbor, UBS. Right before that Swiss pairing, at least one analyst said the crisis was at an end. So is it over now? Investors don’t think so, and on Friday they went looking for the next victim. The wheel stopped in Germany, where Deutsche Bank fell by the most in three years and the cost of insuring its debt against default rose. The bank, which has staged a recovery in recent years after a series of crises, was the biggest loser among large European bank stocks after announcing a plan to repurchase debt, a move normally seen as a sign of strength. Citigroup analysts called the whole thing “irrational.” Here’s your markets wrap.

UBS wealth boss Iqbal Khan is working the phones and crisscrossing the globe to thwart the potential loss of top Credit Suisse bankers and clients as competitors in Europe and New York seek to exploit the turmoil. He was said to have told staff in Asia that he’s working on retention measures including compensation.