Overview

• The Federal Reserve's stress tests indicate banks can withstand a severe recession with $685 billion in projected losses.
• Citigroup's capital requirements are expected to decrease, freeing up capital for potential share buybacks.
• BMO's U.S. division recorded the lowest capital cushion among tested banks, with a significant drop in its CET1 ratio.
• Credit card losses remain a major concern, accounting for a quarter of total projected losses.
• Commercial real estate loan losses were stable compared to last year, despite ongoing market concerns.