Bank of China's Earnings Likely Lifted by Stronger Overseas Rate Outlook -- Market Talk

Dow Jones06-05 16:18

0818 GMT - Bank of China's earnings are likely to be lifted by a stronger overseas interest rate outlook, say DBS Group Research analysts in a note. The lender's overseas segment net-interest margin is likely to see fewer headwinds, as DBS doesn't expect the Fed to cut rates in 2026 with the current inflation environment. Hong Kong's benchmark interest rate is likely to normalize from extreme lows recorded last year in 2Q-3Q, they add. Bank of China has also locked in some foreign-currency bonds when interest rates were high, they note. DBS raises its 2026-2027 earnings estimates for Bank of China by 5%-8%. DBS lifts its target price to HK$5.80 from HK$5.30 and reiterates its buy rating. Shares last closed 1.1% higher at HK$5.31. (megan.cheah@wsj.com)

(END) Dow Jones Newswires

June 05, 2026 04:18 ET (08:18 GMT)

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Bank of China has also locked in some foreign-currency bonds when interest rates were high, they note. DBS raises its 2026-2027 earnings estimates for Bank of China by 5%-8%. DBS lifts its target price to HK$5.80 from HK$5.30 and reiterates its buy rating. Shares last closed 1.1% higher at HK$5.31. (megan.cheah@wsj.com) \n</p>\n<pre style=\"white-space: pre\">\n \n</pre>\n<p>\n  (END) Dow Jones Newswires\n</p>\n<p>\n  June 05, 2026 04:18 ET (08:18 GMT)\n</p>\n<p>\n  Copyright (c) 2026 Dow Jones &amp; Company, Inc.\n</p>\n</font>","source":null,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Bank of China's Earnings Likely Lifted by Stronger Overseas Rate Outlook -- Market Talk</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nBank of China's Earnings Likely Lifted by Stronger Overseas Rate Outlook -- Market Talk\n</h2>\n\n<h4 class=\"meta\">\n\n\n<div class=\"head\" \">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">Dow Jones </p>\n<p class=\"h-time\">2026-06-05 16:18</p>\n</div>\n\n</div>\n\n\n</h4>\n\n</header>\n<article>\n<font class=\"NormalMinus1\" face=\"Arial\">\n<p>\n     0818 GMT - Bank of China's earnings are likely to be lifted by a stronger overseas interest rate outlook, say DBS Group Research analysts in a note. The lender's overseas segment net-interest margin is likely to see fewer headwinds, as DBS doesn't expect the Fed to cut rates in 2026 with the current inflation environment. Hong Kong's benchmark interest rate is likely to normalize from extreme lows recorded last year in 2Q-3Q, they add. Bank of China has also locked in some foreign-currency bonds when interest rates were high, they note. DBS raises its 2026-2027 earnings estimates for Bank of China by 5%-8%. DBS lifts its target price to HK$5.80 from HK$5.30 and reiterates its buy rating. Shares last closed 1.1% higher at HK$5.31. (megan.cheah@wsj.com) \n</p>\n<pre style=\"white-space: pre\">\n \n</pre>\n<p>\n  (END) Dow Jones Newswires\n</p>\n<p>\n  June 05, 2026 04:18 ET (08:18 GMT)\n</p>\n<p>\n  Copyright (c) 2026 Dow Jones &amp; Company, Inc.\n</p>\n</font>\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BACHY","symbol_name":"中国银行ADR","start_time":0,"source_url":"https://dowjonesnews.com/newdjn/logon.aspx?AL=N","article_id":"2641111537","we_media_id":"106","thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2641111537","pubTimestamp":1780647480,"columns":[],"sourceInfo":null,"weMediaInfo":{"media_name":"Dow Jones","introduction":"Dow Jones publishes the world’s most trusted business news and financial information in a variety of media.","home_visible":0,"id":"106","head_image":"https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99"},"summary":"0818 GMT - Bank of China's earnings are likely to be lifted by a stronger overseas interest rate outlook, say DBS Group Research analysts in a note. 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The lender's overseas segment net-interest margin is likely to see fewer headwinds, as DBS doesn't expect the Fed to cut rates in 2026 with the current inflation environment. Hong Kong's benchmark interest rate is likely to normalize from extreme lows recorded last year in 2Q-3Q, they add. Bank of China has also locked in some foreign-currency bonds when interest rates were high, they note. DBS raises its 2026-2027 earnings estimates for Bank of China by 5%-8%. DBS lifts its target price to HK$5.80 from HK$5.30 and reiterates its buy rating. Shares last closed 1.1% higher at HK$5.31. 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