Global shares slip after hedge fund’s default – Reuters

Global shares slip after hedge fund’s default – Reuters

NEW YORK (Reuters) -The dollar gained and a gauge of global equities halted a slide on Monday as investors discounted any long-term impact from a hedge fund's default that roiled banks after Nomura and Credit Suisse warned of billions of dollars in losses.The Wall St. sign is seen near the New York Stock Exchange (NYSE) in New York City, U.S., March 29, 2021. REUTERS/Brendan McDermidCrude prices edged higher after a report that Russia would support stable oil output from the Organization of the Petroleum Exporting Countries and allies ahead of a meeting with the producer group later this week.Nomura said it faced a potential $2 billion loss due to transactions with an unnamed U.S. client while Credit Suisse said a default on margin calls by a U.S.-based fund could be “highly significant and material” to first-quarter results.Losses at the hedge fund, named by sources as Archegos Capital Management, triggered a fire sale of stocks on Friday.Nomura shares in Japan closed down 16.3%, a record one-day drop, while Credit Suisse shares fell 13.8%.Stocks on Wall Street rebounded a bit, with the S&P 500 recouping most earlier losses, as investors looked ahead to an economy set to boom as it reopens