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Major US Banks Announce Increased Dividends and Buybacks After Passing Fed Stress Tests

JPMorgan, Bank of America, and others boost shareholder returns following Federal Reserve's positive assessment.

  • JPMorgan and Morgan Stanley lead with significant dividend hikes and new share repurchase programs.
  • Citigroup, Wells Fargo, and Bank of America also announce higher dividends, though with more modest increases.
  • The Federal Reserve's stress tests confirmed that all 31 tested banks could endure a severe economic downturn.
  • The new capital distribution plans reflect confidence despite looming regulatory changes under Basel III.
  • Some banks, like Goldman Sachs, saw notable increases in their stress capital buffers, prompting further regulatory discussions.
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