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TD Bank Quarterly Earnings Buoyed by Sale of Schwab Stake - WSJ

1. TD Bank's earnings soared after exiting its Schwab investment. 2. Revenue rose 66% mainly due to a C$8.57B gain from Schwab. 3. Rising loan-loss provisions reflect global economic concerns. 4. TD's exit from Schwab raises questions about SCHW's future revenue. 5. Uncertain global trade landscape may limit SCHW's growth.

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FAQ

Why Bearish?

TD's exit from SCHW raises concerns about future revenue streams. Historical precedents show stock drops following significant divestitures.

How important is it?

The article focuses on TD Bank's Schwab divestiture, impacting investor perceptions of SCHW.

Why Short Term?

The immediate market reaction may reflect investor fears following asset sales. Longer-term impacts depend on evolving economic conditions and SCHW's strategy.

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