HSBC Cuts Asia Growth Estimates on Export Risks, Market Turmoil

HSBC Holdings Plc cut its economic growth estimates for most Asian economies, citing threats to exports and the impact of sliding stocks and currencies.

Europe’s debt crisis and a struggling U.S. expansion signal Asian exports “will almost certainly take a large hit,” HSBC said in a report received today. Domestic demand “will also throttle down” as currencies and capital markets fall, with Asia excluding Japan growing 7.3 percent in 2011 and 2012, lower than earlier projections of 7.5 percent for both years, it said.