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Royal Bank of Canada posted a double digit fourth-quarter profit ahead of analyst estimates as record domestic lending more than made up for weak capital markets results.

For the three months ended Oct 31, Canada’s biggest bank by assets reported a profit of $1.6-billion, or $1.09 a share, up 43% from last year.

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Analysts worried going into the quarter that capital markets results at all the banks would push down earnings, and while RBC has taken a hit, overall results were bolstered by the bank’s other operations.

Helped by stronger consumer real estate related lending, the retail banking operation had a record profit of $904-million, up $139-million from last year.

Despite market volatility in the quarter, wealth management had a profit of $189-million, up 8% from last year.

The main low point was capital markets which had a profit of $278-million, down 25% on the back of significantly lower fixed income trading results caused by negative market conditions.