U.S. Bank Stocks Rise as Lenders Sail Through Fed's Stress Test
Shares of the top performer in the test rose 2.1 percent
U.S. bank stocks rose in early trading on Thursday after the Federal Reserve's stress test showed the lenders have adequate capital to survive an economic slump even though analysts doubted if that would lead to higher returns for shareholders.
The test showed the average capital ratio for the 23 banks, with assets of more than $100 billion each, was higher than last year when the central bank had reviewed 34 lenders against a slightly easier scenario.
This year's test, which was devised before the latest banking crisis, checked if banks would stay above the minimum 4.5 percent capital ratio during economic stress and macroeconomic instability.
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