Second Mortgage Bad Credit
Australia's CBA H2 earnings may rise 15 percent
SYDNEY, Aug 4 (Reuters) - Commonwealth Bank of Australia Ltd. (CBA) , Australia's biggest mortgage lender, is expected to report a 15 percent rise in second-half earnings on Wednesday on stronger lending, but growth may slow in fiscal 2007.
Australian banks are benefiting from 15 years of economic growth and a 30-year low in unemployment that have fuelled demand for credit and kept a tight lid on bad debts, but borrowing costs have risen on the back of higher interest rates.
The country's central bank increased its key interest rate to 6 percent this week -- the highest level since early 2001 and the second rate rise this year -- and raised its inflation forecast on Friday, fuelling speculation of a third rise later this year.
Analysts said commercial banks' profit margins would improve as they passed on the full rate rise to their loan customers and kept transaction accounts largely unchanged, but a longer term risk of rising rates was slower growth and more troubled loans.
Related Second Mortgage Bad Credit links
Northwest Airlines 2Q loss widens
EAGAN, Minn. (AP) - Northwest Airlines Corp., which has been operating under bankruptcy protection, posted a wider second-quarter loss Monday as its restructuring costs mount. But its executives pointed to promising developments in their plans to cut labor and pension costs.
After paying dividends on preferred stock, losses totaled $285 million US, or $3.27 per share, for the three months ended June 30. That compared with losses of $234 million, or $2.69 per share, in the prior-year quarter.
Excluding the cost of restructuring and other one-time items, Northwest, the fifth-largest U.S. airline, said it earned $179 million versus a loss of $288 million last year.
Revenue edged higher to $3.29 billion from $3.2 billion in the prior-year period.