BAC has billions in mortgages that are not current. If those are marked to market, instead of 100 cents on the dollar, BAC has a huge negative equity. Without all those commercial bank to bank bond deposits BAC is extremely illiquid.
Now that QE is over and the Federal Reserve is done putting it's bonds on deposit in BAC to make it liquid where exactly is BAC going to get new capital to make it liquid? Is BAC the 1st breakup in the To Big To Fail Breakup Plan? What is a broken up BAC going to look like?
Opium is what HSBC was founded on. The Opium Wars in China to be exact. HSBC is headquartered in the Square Mile in London, which is it's own City State. That means it doesn't have to disclose to anyone anywhere what it does inside The Square Mile. It's Swiss arm may have some trouble with disclosure, but notice no one is going after any accounts inside The Square Mile. There is wrinkle in the Opium trade, that is the Taliban. The Taliban are very anti drug and cutoff Opium once before, which is why you had to attack them after 911. Notice how many times the Taliban surrendered between 2001 and 2014. Now they're back.
Which is a big problem for HSBC and the rest of the banking world. Don't forget the Federal Reserve Corporation is headquartered in the Square Mile, HSBC is a Federal Reserve Member bank. No one is going to touch HSBC with anything major. For instance BAC has been insolvent since 2008 without Fed Funds on deposit at BAC. No one is complaining about that and it's out in the open. Why would the drug business be affected, no one is complaining about drug business or they would send troops in to correct it. Remember Noriega for instance?