HSBC announced a loss of $17.2bn on those investements which are linked to the credit crisis, this was much higher than expected. HSBC overall annual profits still went up by 10%. All five of the big UK banks have suffered loss through the credit crisis, although HSBC seems to be the hardest hit.

HSBC Chairman Stephen Green said he thought the years ahead looks uncertain. HSBC did see strong growth in the Asian businesses.

The US sub prime debt has certainly not had its day yet with the Belgian Bank Fortis warning that it could have losses of up to 1bn euros.($1.47 billion dollars.)

This will cause its profit report to fall from what was expected to be 4bn euros down to 3bn.

Following the statement about debt share prices for Fortis fell in excess of 10% last Friday.

Although the present market is still feeling the effects of the credit tightening which has put currencies such as the dollar under more pressure the Yen has reaped the benefits.

As a funding currency the Yen in carry trades is picking up from the continued high risk aversion status. The Yen continues to hold up against other currencies such as the euro, dollar and Aussie which are known to be high yielding.

Debts amounting to over 105 billion will have the credit rating lowered which comes after the subprime financial mortgage crisis.