Shares for the Commonwealth Bank of Australia [ASX: CBA] have dropped by 3.34% today. The last time it sank lower than this was in November 2016.
Why has the CBA’s Share Price Fallen by 3.34%?
Despite being one of the biggest banks of Australia, CBA has not been doing well lately. People are unhappy with them after questionable business practices, and inside struggles for power, came to light.
The Aussie public’s trust in the Commonwealth Bank is dwindling, and this morning’s statement on the legal issues has not helped.
Staff at the CBA had influenced the Bank Bill Swap Rate (BBSW) in an effort to maximise profits, disregarding the impact this would have on a larger scale.
They will now need to pay a AU$5 million penalty, donate AU$15 million to a financial consumer protection fund, and cover the ASIC’s AU$5 million legal tab.
What’s next for the Commonwealth Bank?
Despite their recent lows, the CBA has been, and remains, one of the largest banks both locally and internationally. Founded in 1911, and having served millions of customers, it is hard to believe the Commonwealth Bank will not recover.
That is, as soon as they get their act together.
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