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Federal Reserve Frees Up US Banks After Stress Test Results
While the US Federal Reserve has maintained limits on capital management moves by major banks for the first quarter of 2021 it has given them more latitude to pay higher dividends or make buybacks in the first three months of 2021. In September the Fed maintained bans started in April on share buybacks and a cap on dividend payments by 33 banks with more than $US100 billion in assets. That ban was to remain in place in the 4th quarter when it would be reviewed for the March quarter of 2021. On Friday the Fed updated the restrictions for the March quarter saying, “In light of the ongoing economic uncertainty and to ... (full story)