TD's "loan growth remains a struggle, which does not appear to be solely a result of run-off" of the United States' pandemic-driven loan forgiveness program for businesses, Barclays Analyst John Aiken said in a note.
Continued high deposit levels could slow loan growth recoveries in some areas, some of the banks have warned. At CIBC, credit utilization rates, while improving, remain low, and although credit card purchases are rising, outstanding balances are expected to be built up much more slowly, executives said on an analyst call.
Separately CIBC said it aims to achieve net-zero greenhouse-gas emissions in its operational and financing activities by 2050, and will set interim targets to do so starting next year. Both TD and CIBC benefited from strong growth in wealth management revenues from a year earlier, which helped drive a 13% increase in non-interest income in TD's Canadian retail unit, and a 25% jump in CIBC's.Reporting By Nichola Saminather; Additional reporting by Niket Nishant and Noor Zainab Hussain; Editing by Chizu Nomiyama and Jonathan OatisSubscribe for our daily curated newsletter to receive the latest exclusive Reuters coverage delivered to your inbox.