It seems that the widening uncertainty in global markets has struck the investment banking sector big time, as it has been revealed that HSBC Holdings PLC has met with huge revenue loss in the third quarter. In addition, there was major loss in the US market also as bad loans soared. It was told that the bad loans moved up by 24% to $3.89 billion.

If reports are to be referred, it was told that the adjusted pretax profit dropped by 36% to $2.96 billion, from $4.60 billion, which made it clear that the bank is certainly facing a rough patch. With the disappointing report hitting the contours of the market, shares of the bank were seen going down by 4.5% at 512 pence at 0955 GMT, though the opening was a lot better.

While the bank indicates that the root cause of this havoc has been triggered from the long running crisis of euro zone, and the slowdown in the US market, there seems to be tough time ahead for the bank to seam through.

HSBC was recently in news, as it was confirmed that the bank has dissolved its U. S. credit card business and even 195-branch network in upstate New York is facing doubtful future. Moreover, the bank sold its Canadian retail brokerage, while making exit from retail banking in Russia and Poland.

Confirming the report, Chief Executive Stuart Gulliver claimed that the bank has managed to perform considerable better in Asia-Pacific and Latin America, and even its performance in commercial banking in most markets along with retail banking operations in the U. K has done a lot to provide significant growth to the bank.

Apparently, market analysts were told to be too concerned about the future of HSBC in Hong Kong where it has been facing weak earnings.