1157 GMT - Southern European banks are expected to report solid results for the second quarter, Keefe, Bruyette & Woods says in a research note. "We find many aspects of the broader setup for the banks to be very attractive," analysts Hugo Cruz and Ben Maher write. They point to strong returns on tangible equity and capital ratios as well as bottoming net interest income despite central bank cuts, along with a pick up in loan growth. Several lenders should reload their buybacks at this stage, they note. While the analysts continue to incrementally increase their estimates and price targets, the complicated M&A landscape and lack of clarity on tariffs is preventing analysts from being more positive. (elena.vardon@wsj.com)

(END) Dow Jones Newswires

July 10, 2025 07:57 ET (11:57 GMT)

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