Daily Rewind: Banks pass the Fed’s test💸
Congratulations! 😎 You survived another wild work day — and so did America’s banks. They passed the Fed’s stress tests for the first time. Here’s what that means:
- The Fed decided that America’s major banks are healthy enough to buy back their own stock or pay dividends to shareholders.
- It’s the first time all 34 of the nation’s biggest banks have been approved.
- The result is part of the Fed’s annual checkup on banks like JPMorgan, Wells Fargo and Bank of America.
- The Fed began conducting stress tests following the 2008 recession. These tests are designed to determine whether banks are strong enough to overcome a severe recession.
- Banks were also given a clean bill of health in last week’s initial test. The Fed said that major U.S. banks would be capable of continuing to lend money, even under terrible economic conditions.
Other important news to know:
China frees activists who were probing Ivanka Trump shoe factory. Su Heng, Li Zhao and Hua Haifeng had gone undercover to investigate working conditions at a company that makes shoes for the Ivanka Trump brand. They were released on bail and are now awaiting trial, according to an advocacy group. Ivanka Trump Company has told CNNMoney that its products have not been produced at the factory in question since March. It has said that the factories it uses “are required to operate within strict social compliance regulations.” Read more from CNNMoney’s Jill Disis.
Check these stories out:
*GM CEO: We need more women coders (CNNMoney)
That’s all for today. We’ll see you again tomorrow!
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