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The euro rose 0.35% to $1.0613 against the dollar in central London time after heavy losses fueled by a sell-off by European banks on Wednesday.

It was 0.4% higher against the British pound.

The Swiss franc also gained against the greenback as investors reacted to news of the Swiss National Bank’s bailout of troubled Credit Suisse.

Markets will look forward to the European Central Bank’s latest monetary policy announcement at 1:15pm, followed by ECB President Christine Lagarde’s press conference.

A 50 basis point hike was widely expected, although recent volatility has led markets to bet on its likelihood, and Lagarde’s comments will be closely watched.

“If the ECB 50 basis point hike thanks to the SNB’s support comes in an environment where markets are easing concerns over the banking sector, this could actually be read as a signal of Frankfurt’s confidence in the health of the eurozone banking system, and could ultimately boost the euro,” analysts at ING said.

– Jenny Reid

OBS Group, the parent company of OneSavings Bank, rose 9% in morning trade after posting positive annual results.

Pre-tax profit rose 13% year-on-year to £591.1 million ($712.7 million), largely due to loan book growth, the company said in a statement.

Shares in pest control company Rentokil Initial rose after earnings rose following its acquisition of US rival Terminix. The company also raised its revenue and cost savings expectations for 2023, contributing to a 7% share price gain.

Shares in Credit Suisse rose as much as 30% when European markets opened, but gains were down 18% by 9.15am London time.

Credit Suisse shares rose after the bank said it would borrow up to $54 million from the Swiss National Bank.

– Hannah Ward-Glenton

Weak links in the banking industry are cracking, a strategist told CNBC’s “Squawk Box Europe” Thursday.

Beat Wittmann, partner at Porta Advisors, discusses the crises facing Credit Suisse and Silicon Valley Bank and says, “Now is the time for policymakers to restore confidence and liquidity in the system.”

European bank stocks rallied in early trade on news that Credit Suisse had secured a $54 billion lifeline from the Swiss National Bank.

Shares in Credit Suisse were up 30% at 8.25am London time. Followed by UBS 4.9%, Commerzbank 3.9%, Santander 3.%, shares of FinecoBank rose 3.4% and Barclays 3.3%.

Bank stocks rose 1.8% overall.

– Hannah Ward-Glenton

Shares in Credit Suisse jumped 30% after the European market opened after the Swiss National Bank said it would provide liquidity to the bank as regulators tried to ease fears of a banking crisis.

European markets opened higher on Thursday as regional investors breathed a sigh of relief after the Swiss National Bank said it would provide liquidity to stricken bank Credit Suisse.

The pan-European Stoxx 600 index opened 1% higher. Most sectors and major bourses opened on a positive note, with banking stocks up 2.8%. Oil and gas and retail stocks rose 1.6%.

– Hannah Ward-Glenton

The head of Credit Suisse’s largest shareholder, Saudi National Bank, told CNBC’s Hadley Gamble that recent market turmoil in the banking sector is “isolated” and stemming from “a bit of panic.”

“When you look at how the entire banking sector has collapsed, unfortunately, a lot of people are looking for excuses … it’s panic, a little bit of panic,” Ammar Al Qudhairy said on CNBC’s “Capital Connection.”

He added that Credit Suisse had not sought financial assistance from the Saudi National Bank.

“There is no discussion with Credit Suisse about providing assistance,” he said. “I don’t know where the word ‘help’ came from, there’s been no discussion since October,” he said.

His comments came after Credit Suisse announced it would borrow 50 billion Swiss francs ($53.68 billion) from the Swiss National Bank, boosting liquidity and boosting investor confidence, after shares fell on Wednesday.

– Jihye Lee

The Swiss franc continued to see volatility following developments around Credit Suisse – and was last up 0.17% against the US dollar, weakening after the lender announced a nearly $54 billion loan from the Swiss National Bank.

The Japanese yen also strengthened further against the greenback to trade at 132.86. The Korean won 0.13% against the US dollar at 1,311.24.

– Jihye Lee

Credit Suisse announced it will borrow 50 billion Swiss francs ($53.69 billion) from the Swiss National Bank under a credit facility and short-term liquidity facility.

The moves will “support Credit Suisse’s core businesses and customers as Credit Suisse takes the necessary steps to create a simpler and more focused bank built around customer needs,” the company said in a statement. Notice.

In addition, the bank is making a cash tender offer in respect of ten US dollar-denominated senior debt securities for an aggregate consideration of up to $2.5 billion – as well as a separate offer of four euro-denominated senior debt securities for a total of up to 500. million euros, the company said.

Read more here.

– Jihye Lee

European markets closed sharply lower after a volatile trading session on Thursday.

UK’s FTSE 100 index is expected to rise 73 points to 7,405, Germany’s DAX is expected to rise 217 points to 14,947, France’s CAC is up 118 points to 6,993 and Italy’s FTSE MIB is expected to rise 443 points to 25,51.

The European Central Bank’s latest monetary policy decision is the focus of European markets on Thursday. With inflation high, the central bank is expected to announce a 50 basis point rate hike, as previously signaled by ECB President Christine Lagarde.

– Holly Elliott