S&P puts HSBC on lower rating

City A.M. Reporter
Standard & Poor’s lowered its outlook on HSBC to negative from stable yesterday, leaving the bank more vulnerable to a ratings downgrade some time in the intermediate future.

The ratings agency said that money-laundering allegations against HSBC may cause the British bank to lose business and face additional costs related to regulatory fines and litigation.

A negative outlook shows the S&P may lower a company’s ratings over the next six months to two years.