Wells Fargo deposes China’s ICBC as world’s biggest bank

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SHANGHAI – The Industrial & Commercial Bank of China (ICBC) has lost its standing as the world’s largest bank by market capitalization to US-based Wells Fargo, data showed Wednesday, as China’s economy slows.

San Francisco-based Wells Fargo & Co. is worth $236 billion, according to the New York Stock Exchange, where it is listed, while Chinese figures show ICBC is now valued at $223 billion.

ICBC’s six-year reign as the world’s biggest bank began in July 2007, and its value peaked at $374 billion in November that year thanks to China’s rapid economic expansion, and stood as a symbol of the country’s emergence as a global powerhouse.

But it was deposed on July 12 and Wells Fargo has retained top spot since.

The shift comes at a time when the world’s second largest economy is losing steam, and a liquidity crunch last month exposed risks in the banking system, sending financial stocks into a tailspin.

China’s economy expanded 7.5 percent year-on-year in the April-June period, slowing from 7.7 percent in the previous three months.

In June, a shortage of funds on China’s interbank market sent the interest rates banks charge to lend to each other to record highs, raising worries over the health of the financial sector.

China last week announced a long-awaited interest rate liberalization, removing a floor on banks’ lending rates, but the move sparked worries that narrower interest margins could erode earnings.

As of midday Wednesday, ICBC was down 0.51 percent at 3.91 yuan in Shanghai and 0.20 percent lower at HK$5.09 in Hong Kong.

Wells Fargo closed down 0.13 percent at $44.57 on Tuesday.

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  • jeff

    “sinophobia” or mistrust and hatred of greedy and arrogant bully communist china is steadily spreading worldwide, its economy is starting to slowdown.

    The insatiable greed of arrogant bully and gangster-like communist china’s leaders has made them mentally unstable, making communist china a real threat to global peace and security.

  • ozkid

    Just like their products, not long lasting. As soon as most of the foreign investors will complete the relocation of their manufacturing back to their shore or to other countries which are civilized, then that will be the final nail of the coffin to this arrogant china.

    The fact is, the US is encouraging their manufacturers back to their homeland by giving incentives and tax breaks and will be imposing higher tariff to the rubbish made in china products to make it less competitive.

    Word of advice, Stick with making noodles because you are good at that. You can forget manufacturing technologically advance products because it’s way outside your league.

    Your days are numbered. Ding Dong…

  • Phoinex

    Continue boycott Chinese made products. Slowly but surely it will be the beginning of it’s end as economic power.

  • Littlebimby

    The boycott must have contributed to the pinch….refrain as much as possible from patronizing Communist China’s products, start with the airlines….buy Taiwanese, Indian, Thai, Vietnamese, Filipino, American, European…. from anywhere but Communist China…the bullies should realize that it’s might and power are fed in a substantial way by its good relations with the world and so it must act responsibly and stop the bullying!!!

  • joboni96

    the beginning of the end of
    massive tsinese growth

    intsik switik will now use the asean sea
    to divert tsinese people against the ruling party

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