12.26.24

Banks Sue Federal Reserve Over ‘Lack of Transparency’ in Stress Testing

by: Alexander Saeedy

Trade groups representing the biggest U.S. banks sued the U.S. Federal Reserve over its process for determining banks’ resiliency in annual stress tests. The lawsuit came a day after the Fed said it was overhauling the stress test regime for banks and planned to seek public comment on planned changes in early 2025. The trade groups, which include banks such as JPMorgan Chase, Bank of America and Citigroup, said a statute of limitations to change the stress-test rules expires in February, and they filed a lawsuit to preserve their legal rights.

Read the full article on The Wall Street Journal