Profits at Canada’s largest banks are expected to have increased despite trade tensions, the Middle East conflict and broader economic uncertainty, but now face tougher tests as more consumers struggle to pay debts and a subdued housing market weighs on their core domestic business.
The big banks — Royal Bank of Canada, TD Bank, BMO, Bank of Nova Scotia, CIBC and National Bank of Canada — which together control more than 90 per cent of the market, are expected to report strong second-quarter earnings starting on Wednesday, helped by trading revenue and their capital markets businesses.