HSBC Number 2 Bank in World

[Chris Burford <cburford@xxxxxxxxxx>]

+ Britain's HSBC consolidated its position as the world's second-largest
bank by agreeing to acquire CREDIT COMMERCIAL DE FRANCE for 11 billion
($10.5 billion).

From the Economist


Note that HSBC was originally the old imperialist Hong Kong and Shanghai
Banking Corporation.

Note that it has moved shrewdly in relation to government policies, and no
doubt influenced them. As a protective move prior to the assimilation of
Hong Kong back into China, it bought up the ailing Midland Bank in Britain.

 In Britain itself market consultants clearly advised it well to change
its image and its presentation. Last year Midland signs came down all over
the country. The red logos of HSBC with a simple and striking symbol of two
harmless red arrows connecting, are in every high street. The image is one
of modernity but friendly accessibility.

Note too, that HSBC's onward march was by no means impaired by the
interventionist actions of the Hong Kong administration when it bought up
ten percent of the Hong Kong stock exchange, including HSBC shares to
punish the currency speculators.

Those shares are still held by the Hong Kong administration although in an
arrangement supposed to guarantee independence from the government.
Nevertheless ultimately of course the Hong Kong government is under the
control of the government of the People's Republic of China, which will not
lose the opportunity to keep well informed on the progress of the world's
number two bank.

In World Strategic terms, this shows that although eastern capital took the
brunt of the 1998 world crisis, sections of it have fought back both
regionally and in making global alliances.

It is also a further sign of a possible axis of cooperation between Europe
and the East against US World Economic hegemony. While this might never
become any explicit inter-imperialist alliance, the possibility is already
a fact of world economics and must be factored into the account by the
capitalists, if not by the proletariat of the world.

Not only the Communist Party of China, but other would-be marxists will see
the relevance of keeping well informed on such straws in the wind as the
robust health of HSBC.

I would appreciate any clarifications or refutation of the outline I have
sketched here.

Chris Burford

London