The Daily Chase: RBC beats profit expectations in Q4; National Bank reports profit down
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Another day, another profit beat from one of the Big Six banks. This time around, its Royal Bank of Canada’s turn – adjusted earnings per share came in at $2.78 per share, easily topping the average estimate for $2.69. It was the usual suspects driving the beat – net interest margins (basically the spread between the rate the bank borrows at and the rate it charges its own borrowers) expanded, in no small part over at its Canadian Banking and Wealth Management division.
…AND A MISS OVER AT NATIONAL BANK
Almost a case of “similar story, different result” when it comes to National Bank of Canada. Diluted earnings per share came in at $2.08 in the fiscal fourth quarter, well shy of the $2.24 estimate, as a rise in – you guessed it – provisions for credit losses took a toll on the bottom line. Compounding National’s troubles was a weak showing from the capital markets division, which succumbed to a broad slowdown in activity, sending profit 14 per cent lower in the quarter. That said, couple of bright spots for investors – National is raising its quarterly dividend by five cents to 97 cents per share, and the board announced a normal course issuer bid to buy back about 2.1 per cent of the company’s shares outstanding.
Oil above US$100 is adding pressure on equities as geopolitical risks and uncertainty over inflation and growth cloud the outlook.
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The chief executive of National Bank of Canada says he’s not changing the bank’s strategy because of the war in the Middle East, but he is urging a faster response from Canada to rising threats abroad.
With airstrikes still battering Iran and missiles still targeting sites across the Middle East, some of the optimism that sent stocks rallying the day before drained out of Wall Street on Tuesday. Oil prices got back to rising, and U.S. stocks are returning some of their gains.
A large explosion at an oil refinery near the Texas coast shot plumes of smoke into the air and forced nearby residents to shelter in place, officials said.
Oil prices rise and stocks fall as war with Iran still advances despite Trump’s talk of negotiations
U.S. markets ticked slightly lower and oil prices rose early Tuesday as the war in the Middle East continued a day after U.S. President Donald Trump said the United States had made progress in talks with the Islamic Republic to end the conflict.
U.S. markets ticked slightly lower and oil prices rose early Tuesday as the war in the Middle East continued a day after U.S. President Donald Trump said the United States had made progress in talks with the Islamic Republic to end the conflict.
Bank of Montreal said on Tuesday it plans to roll out tokenized cash capabilities in collaboration with CME Group and Google Cloud, as it seeks to meet rising demand for real‑time payments amid a global shift toward around‑the‑clock trading.
From rolled steel to kitchen cabinets, Canadian businesses hit by targeted U.S. tariffs are struggling to respond as the trade war drags into its second year.
Global benchmarks mostly rebounded Tuesday, in a mood of cautious relief after U.S. President Donald Trump said the United States has talked with Iran about a possible end to their war.
It’s that time of the year again, tax time, a time to file your annual return with the Canadian Revenue Agency.
Gold seen as overbought as Iran tensions ease, with falling oil prices lifting stocks and shifting investor sentiment toward risk assets.