HSBC in warning over US business

Banking giant HSBC warned today that the turnaround of its US business may take until the end of 2009, as it unveiled a $17.2bn US (€11.3bn) hit from bad debt and loan provisions.

The group said write-downs relating to defaults last year soared by 63% from 2006 – more than City expectations – as the fallout from the slowing US housing market crisis deepened.