Standard Chartered hit with 'hammer blow' to investment case

Analysts have warned the investment case for holding Standard Chartered has been hit with a 'hammer blow' following the news it may lose its US banking licence.

The Asian-focused bank, whose shares have fallen 20% this morning, on top of a 6% fall yesterday, is accused by the US authorities of hiding $250bn worth of transactions carried out by Iran. The bank strongly denies the allegations from the New York State Department of Financial Services, but shares have nonetheless seen their worst ever one-day sell-off. Analysts have reacted by downgrading their views on the stock and lowering price targets. Shore Capital said any fine imposed by the US authorities would put a "reasonable dent" in its profits, but is much more worried about the d...