Bank of Montreal executives said trade-related risks in North America have receded in recent months, helped by USMCA compliance across most industries and government support measures that cushion the impact of tariffs still in force. The comments were made on 26 August by the bank’s chief executive officer, who added that geopolitical uncertainties persist but are less acute than earlier in the year. Despite a slowdown in job creation, the CEO said Canadian consumer spending remains solid, while the bank’s chief risk officer sees the U.S. macroeconomic outlook improving and expects Canada to perform slightly better, albeit with lingering tariff uncertainty. Within the bank’s transportation finance portfolio, gross impaired loans fell last quarter and the size of the book is now the smallest since the first quarter of 2023. The improvement, coupled with market speculation that BMO may be considering a sale of the division, highlights efforts to streamline risk exposure.