HSBC earnings miss analyst targets

<p>Shares in HSBC are down today.</p>

The share price of HSBC has fallen today (August 5th) after the bank revealed its latest financial results.

Although the company's pre-tax profits were up by ten per cent to $14.1 billion (£9.2 billion), these figures did not meet the expectations of analysts and revenues were down as well.

Chairman Douglas Flint stated that the firm is going to consider raising salaries in order to combat new rules that are set to cap bonuses at a maximum of double their salary.

"We have to be competitive," Mr Flint said, adding that 80 per cent of the bank's profits came from non-European markets.

HSBC confirmed that it has cut 13 per cent from its operating costs, a drop enabled by the sale of non-core businesses and lower bad debts.

But despite the ten per cent rise in its profits, the share price of HSBC is down by around the 4.5 per cent mark today.

At 16:17 BST, stocks were trading for 720.10, down 33.46 on the start of the day's trading.

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