Top broker Bell Potter has downgraded the Commonwealth Bank of Australia (ASX: CBA) to hold today and shares in the bank were down 1.16% at the time of writing.
The other big banks Westpac Banking Corp (ASX: WBC), Australia and New Zealand Banking Group (ASX: ANZ) and National Australia Bank Ltd. (ASX: NAB) were also trading lower as Day 8 of the Banking Royal Commission was underway.
I think the negative sentiment around the banks will continue as the royal commission goes on but not every piece of negative news will have an impact on their bottom line.
Despite the broker downgrade, the big Australian banks remain some of the most profitable banks in the world and I think they are decent additions to a dividend focused portfolio.
While I like the banks, our top dividend pick, could be an even better selection for an income-seeking investor.