Will the Liberty IPO damage the Commonwealth Bank (ASX:CBA) share price?

Last week, Commonwealth Bank of Australia (ASX: CBA) saw its share price rise 8.11%, more than any other of the big four banks. Furthermore, the Australian Prudential Regulation Authority (APRA) announced it was reducing the bank’s capital charge by 50%. This means that Commbank has to hold $500 million less capital as risk mitigation. This helped the CBA share price to rise by 1.43% on Friday alone. 

In other positive news, APRA has indicated it may also remove the cap on bank dividend payments. Additionally, Commbank CEO, Matt Comyn, noted last week that the housing slump risk to the economy had passed. A combination of factors fuelled the CEO’s optimism. These included strong surplus savings of $100 billion, very strong…