Financial markets in shock over bank crisis

The reported purchase price will be CHF0.76 per share, which is higher than the original low-ball offer of CHF0.25, though still only a small fraction of Credit Suisse's share price of CHF1.86 at close on Friday.

The total price paid for the embattled 167-year-old bank is three billion Swiss Francs and for disappointed Credit Suisse shareholders this reflects one UBS share for every 22.48 Credit Suisse shares held. The purchase created widespread concern in hybrid markets following the complete wipeout of Credit Suisse's tier one notes which are now completely worthless.

On the United States side of banking developments, First Republic Bank's share price fell by 32.8pc on Friday and again by 47.1pc on Monday.

The troubled bank has had help from JP Morgan chief executive officer Jamie Dimon, who has lead discussions with the CEOs of other major banks about efforts to stabilise First Republic Bank.

Mr Dimon led the $30 billion transfer of deposits onto the bank last week, however, recent outcomes would suggest this has done little to improve market sentiment.

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Reports have also been released by Bloomberg over the weekend which state that the Biden administration has reached out to investor Warren Buffet for assistance in the US regional banking crisis.

Although no indication of what role Buffet might play has been announced, he has a history of helping distressed banks as he provided capital injections to Goldman Sachs and Bank of America during the Global Financial Crisis.

The overall results in equity markets were mixed last week with the America's NASDAQ the clear winner up 4.41pc over the week. England's FTSE100 was hit the hardest of all major world indices, down 5.33pc.

Australia's ASX200 was among the losers last week finishing up on Friday down 2.10pc.

Finally, in commodities, a heightened risk of recession has put downward pressure on oil demand with West Texas Intermediate down 12.96pc and Brent Oil falling 11.85pc. Unsurprisingly the best performing commodity was gold with an impressive 5.69pc rally last week.