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Fed Expands Shock Scenarios for Banks in Annual Stress Test After SVB Collapse
The Federal Reserve will test banks’ abilities to withstand a broader array of hypothetical shocks this year after the collapse of multiple regional lenders. The stress-test scenarios released by the Fed on Thursday represent the first annual exercise since Silicon Valley Bank and Signature Bank collapsed last March, which briefly sparked concerns about the broader banking system. This year’s exams will cover 32 banks with as little as $100 billion in assets — as previously scheduled. In addition to their importance for oversight, the exams are closely watched by Wall Street because a passing score can ... (full story)