Barclays cuts ING to 'equal weight' as lower rates pose risk
** Barclays cuts ING Groep INGA.AS to "equal weight" from "overweight", warning of adownside risk to consensus on the Dutch lender's rate-driven EPS with the Q3 report as a possible catalyst
** "We have long-held a view that the market underestimates ING's rate sensitivity", Barclays says as rate expectations move downward
** Consensus underestimates the hedge income headwind, the broker adds, as it expects guided hedge income in 2025 to be reduced by 1.8 billion euros ($1.95 billion)
** ButBarclays still sees support for INGfrom fees and capital return that could come via another share buyback
** It maintains "overweight" for Dutch lender ABN Amro ABNd.AS, sayingconsensus undervalues a building mortgage tailwind and NII add-ons from an acquisition in Germany
** It also reiterates "equal weight" for Belgian bank KBC KBC.BR, but it cuts its NII estimates for 2025as it factors in lost NII on Belgian term deposits and Czech reserves
($1 = 0.9235 euros)
Reporting by Tiago Brandao
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