HSBC drags FTSE down from two-month highs

Disappointing results have sent HSBC shares down 5% and erased the FTSE 100's early gains on the first day of trading this week.

HSBC reported $14.1bn in pre-tax profit in H1, up from $12.7bn last year but below forecasts as revenues dropped 12% on a slowdown in emerging markets. The results sent the bank's shares down 5.2% at 716p by early afternoon, making it the biggest faller in the index. The FTSE itself, which had risen 0.4% to 6,684 following positive PMI manufacturing data this morning, reversed those gains to stand down 0.5% at 6,616 this afternoon. On Friday the index briefly touched 6,696, its highest level since late May, before ending last week at 6,648. HSBC's problems were enough to push sh...