Fed announces dates for release of 2019 stress test results

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WASHINGTON—The Federal Reserve has announced the dates that its 2019 stress test results will be released, in the first year that only the largest and most complex banks are subject to testing.

The results from the Dodd-Frank Act supervisory stress tests will be made public June 21, and the Comprehensive Capital Analysis and Review stress test results will be released June 27. Both will be announced at 4:30 p.m.

“Stress tests help ensure that banks have adequate capital to absorb losses so that they can lend to households and businesses even in a serious recession,” the Fed said in a release.

In February, the Fed voted to exempt banks with assets of $100 billion to $250 billion from the 2019 supervisory stress testing cycle, moving those banks to the 2020 cycle.

The firms that were not required to participate in this year’s cycle were Ally Financial, American Express Company, BB&T, Citizens Financial, Discover Financial, Fifth Third Bancorp, Regions Financial Corp., Huntington Bancshares, KeyCorp, M&T Bank, SunTrust, BBVA Compass Bancshares, BMO Financial, BNP Paribas, MUFG Americas, RBC U.S. Group and Santander Holdings USA.

The Fed's 2019 stress testing scenarios include a severely adverse scenario that sees a 6-point increase in unemployment and harsher macroeconomic conditions than those featured in last year’s scenario, as well as a 50% drop in stock values and a 25% drop in home values.

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