...Ratings Affirmed: Fitch Ratings affirmed Bank of Montreal's (BMO, or the company) long- and short-term issuer default ratings (IDR) at `AA¡' and `F1+', respectively, on Jan. 23, 2015, following Fitch's Canadian bank peer review. Stable Rating Outlook: The Rating Outlook for BMO, as well as the other Canadian banks, remains Stable despite concerns related to consumer credit in Canada, particularly the Canadian housing market. At this juncture, Fitch views the risks associated with the Canadian housing market and the global economic headwinds to be, in part, mitigated by diversification of earnings and risk from BMO's U.S. operations. Earnings Still Good, But Slowing: Fitch notes that BMO's overall operating performance continues to be good, supported by low provision expense over the past several years. Fitch would expect earnings to begin to decline given the slowing Canadian mortgage market, the prolonged low interest rate environment both in Canada and the U.S., aggressive competition...
