Royal Bank of Canada sees quarterly profit rise on trading boost, hikes dividend

Royal Bank of Canada reported a rise in second-quarter profit, supported by higher trading income during a volatile period and stronger interest earnings. The result points to solid underlying fundamentals in the bank’s core businesses, with volatility aiding trading revenue and rates-related income contributing to the upside. The update is positive for RBC but likely only a modest mover for the stock.

Analysis

Royal Bank of Canada reported a rise in second-quarter profit, supported by higher trading income during a volatile period and stronger interest earnings. The result points to solid underlying fundamentals in the bank’s core businesses, with volatility aiding trading revenue and rates-related income contributing to the upside. The update is positive for RBC but likely only a modest mover for the stock.