Commonwealth Bank of Australia falls after lender flags declining mortgage demand despite record earnings

Westpac Banking

12/08/2026 03:44

** Shares of Commonwealth Bank of Australia CBA.AX fall as much as 2.2%, their lowest level since July 22
** Stock on track for fourth consecutive session of losses, if trends sustain
** The country's top lender flags steep decline in mortgage demand following the federal government's tax changes in May
** Also warns of a slowing economy as high interest rates and inflation pressured household budgets and economic activity
** CBA reports record annual cash earnings A$10.98 billion ($7.75 billion), beating VA estimate of A$10.85 billion
** CBA's downbeat commentary on the weakening housing market follows smaller rival Westpac WBC.AX reporting a 20% fall in mortgage applications
** CBA stock up 7.3% YTD, including the day's moves

($1 = 1.4170 Australian dollars)

 (Reporting by Nikita Maria Jino in Bengaluru)
 ((Nikita.Jino@thomsonreuters.com;))