Australian Banks Slump After First Lender Defers Dividend
- Bank of Queensland delays payout until economic outlook clears
- In further blow, S&P cuts rating outlook for major banks
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Shares in Australia’s biggest banks slumped Wednesday after the Bank of Queensland Ltd. become the first to delay its dividend as the prudential regulator urged lenders to reduce payouts during the coronavirus crisis.
The Brisbane-based bank said it would defer a decision on its first-half dividend until the economic outlook is clearer, helping send the stock down as much as 7.4%. It pared losses to close 2.1% lower.