Bank of Montreal, CIBC and Royal Bank of Canada: Update

Canadian Banks today plunged as Bank of Nova Scotia and its $595 million write down reminded them the banking sector is exposed to the financial problems on Wall Street.

Bank of Montreal (TSX: BMO) led with the biggest loss on the Toronto Stock Exchange with a fall of $2.91 or 7 percent to $37.59.

Canadian Imperial Bank of Commerce (TSX: CM) lost $2.42 to $48.48, Royal Bank of Canada (TSX: RY) fell $1.97 to $41.57 and the Toronto-Dominion Bank (TSX: TD) dropped $2.10 to $50.08.

The second biggest loser among Canada’s six largest banks was Scotiabank who fell more than 5 percent after posting some of the banks fourth-quarter losses, although it is expected that all of Canada’s major banks will be hit by the crisis that has hit the financial and insurance sector in America.

North American stock markets had one of the worse October’s in history, with Canadian markets lost nearly 20 percent, wiping out stock value worth hundreds of billions of dollars, the losses quickly battered the value of investments held by retail investors, pension funds, insurance companies and banks.

Source: thestar