Skip to main content

Newsroom

March 27, 2014

U.S. banks brace for second Fed health check in a week

“U.S. banks will tell shareholders on Wednesday how much they plan to pay out after the U.S. Federal Reserve unveils whether they can afford the cost and still be robust enough to weather the next crisis.

“It is part of a two-step annual regulatory check-up of the health of the largest U.S. banks. Last week, the Fed said that all but one of 30 banks had passed a model run of a simulated crisis similar to 2007-09 credit meltdown.

“The exercise, in which banks had to show how they would cope with a halving of the stock market, is an increasingly important benchmark for the Fed to make banks safer and have them rely less on borrowing to fund their business.

“All of the banks except Zions Bancorp stayed above the five percent threshold for the top-tier capital requirement. However, that does not automatically mean that the Fed has approved their shareholder pay-outs.”

***

Read full Reuters article here.

In the News
Share

MEDIA REQUESTS

For media inquiries, please contact us at
press@bettermarkets.org or 202-618-6433.

Contact Us

For media inquiries, please contact press@bettermarkets.org or 202-618-6433.

To sign up for our email newsletter, please visit this page.

Name(Required)
This field is for validation purposes and should be left unchanged.

Sign Up — Stay Informed With Our Monthly Newsletter

This field is for validation purposes and should be left unchanged.

For media inquiries,

please contact press@bettermarkets.org or 202-618-6433.

Donate

Help us fight for the public interest in our financial markets, protecting Main Street from Wall Street and avoiding another costly financial collapse and economic crisis, by making a donation today.

Donate Today