Fed says banks could withstand 10% unemployment, 55% stock price drop in annual stress test

Fed says banks could withstand 10% unemployment, 55% stock price drop in annual stress test

The Federal Reserve Board on Thursday projected the potential for a rockier road ahead for banks than it did a year ago, but said the 33 financial institutions it reviewed passed its annual stress test of capital reserves. The Fed estimated $612 billion in potential losses for banks in its most severe economic scenario, and … Read more

Bank of America and Citigroup are flagged for potential losses on risky loan deals by rival JPMorgan

Bank of America and Citigroup are flagged for potential losses on risky loan deals by rival JPMorgan

Fund outflows and tightening conditions in a key corner of the credit markets have left big banks with an estimated $2 billion in losses, according to JPMorgan Chase . Bank of America and Citigroup have the most exposure to so-called hung loan deals within the coverage universe of JPMorgan analyst Vivek Juneja, according to a … Read more

Stocks with strong balance sheets and attractive returns

Stocks with strong balance sheets and attractive returns

European companies have never been richer, according to Morgan Stanley, and are ready to splash the cash — including distributing part of it to shareholders. The Wall Street bank has named a raft of stocks that have strong balance sheets and resilient cash flows and are set to return excess cash to shareholders through buybacks … Read more

Morgan Stanley says buy the dip on these 5 global stocks

Morgan Stanley says buy the dip on these 5 global stocks

Global markets have been slammed by a slew of macro headwinds, but Morgan Stanley sees opportunities for investors to pile into “fallen angels” — stocks which the bank thinks have sold off materially and now look attractive. With the MSCI Europe down nearly 14% this year, Morgan Stanley believes European stocks have been oversold, with … Read more