• Inside Labour

    No South African, with or without a job, should be condemned to poverty, says Patrick Craven.

  • Rating agencies and SA

    Warts and all, rating agencies kept SA on the straight and narrow, says Daniel Silke.

  • Crisis management fail

    Ford SA lost the plot right after the tragic death of a Kuga owner in 2015, says Solly Moeng.

All data is delayed
Loading...
See More

Fed details stress test for big banks

Nov 16 2012 08:29
AP
Washington - The Federal Reserve says the biggest banks in the US will be tested next year on their ability to survive not only a severe US recession but also a global downturn.

The latest round of "stress tests" will test how the banks would handle recessions in Europe and Japan and severe slowdowns in other Asian countries including China.

Under the Fed's most severe scenario, the United States would undergo a recession in which unemployment would reach nearly 12%, stocks would lose half their value and home prices would plunge 20%.

The nation's 19 biggest banks must submit reports on how they would fare under various scenarios. The central bank will release the results by late March.

The Fed has conducted stress tests of the banks every year since 2009.

Follow Fin24 on Twitter, Facebook, Google+ and Pinterest.

banks  |  us economy

NEXT ON FIN24X

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
0 comments
Comments have been closed for this article.
 

Company Snapshot

We're talking about: SMALL BUSINESS

From fossils to finance – that’s been the career trajectory of Dr Merrill van der Walt, a palaeontologist until recently. She is now a statistician with a difference.
 

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

How did you buy your property?

Previous results · Suggest a vote

Loading...