(by Dr. Goldfinger)

HSBC Holdings Plc, BNP Paribas SA and ABN Amro Holding NV, three of Europe’s biggest banks, reported today higher profit as improving economic growth spurred gains from consumer lending. 

HSBC said first half pre-tax profits rose 53% to $9.36 billion, or a 41% rise in EPS to 58 cents per share amid improving economies in Hong Kong and the U.S. Loan loss provisions rose 18 percent to $2.8 billion, as a $1.29 billion additional charge from acquired Household International offset fewer large specific provisions in the corporate sector and improving economy in the U.S. and Hong Kong. Going forward, it said "the current operating environment remains favorable" but "the global imbalances which brought about such uncertainties remain." HSBC shares climbed 3.5 percent to 836 pence at noon on the London Stock Exchange, valuing the bank at 92 billion pounds ($168.4 billion).

French bank BNP Paribas said second quarter net profits rose 49.9% to 1.35 billion euros, with provisions down 32.4% to 215 million euros and net banking income up 2 percent to 4.74 billion euros. BNP topped analyst estimates, which ranges from 963 million and 1.088 billion euros. Shares of BNP Paribas was little changed at 48.18 euros in Paris.

ABN Amro, the biggest Dutch bank by assets,  said second quarter net attributable profits rose 26.6% to 975 million euros, as loan loss provisions declined 49.5% to 154 million euros while revenue rose 4% to 4.77 billion euros. That topped consensus forecasts ranging from 720 million to 830 million euros. Shares of ABN Amro declined 1.1% to 17.21 euros in Amsterdam.