Frontline Perspectives: Large Canadian Banks Q2 2024 Earnings Round-Up

Heading into the second half of 2024, the Big Six banks are still facing a challenging operating environment but continue to maintain ample liquidity and solid capital. Q2 2024 sequential adjusted earnings increased modestly driven by higher noninterest income, paired with a slight reduction in noninterest expenses. However, credit deterioration progressed further in Q2 2024, with impaired PCL increasing for the seventh-consecutive quarter. Following the Bank of Canada's 25 bps interest rate cut on June 5, 2024, some much needed relief should be provided to heavily indebted Canadian borrowers as debt continues to reprice at maturity, along with a potential boost to muted loan growth and moderating net interest income. Join us for a discussion on the Large Canadian Banks Q2 2024 Round-Up. Carl De Souza, Senior Vice President and Sector Lead, North American Financial Institution Ratings will discuss capital levels, funding and liquidity, and credit quality trends, as well as what can be expected moving forward with monetary policy uncertainty. The discussion will be followed by a Q&A session.