Having been told numerous times that banks "are in far better condition now than before the crisis," we should not be at all surprised that all major banks passed The Fed's "adverse scenario" stress test.
As The FT reports, US banks would lose $410bn if there were another severe global recession, but would maintain enough capital to keep lending to companies and individuals, according to US regulators. Eighteen of the country’s largest banks all passed the first round of their annual stress tests on Friday, as Federal Reserve figures showed the US financial services industry is well-enough capitalised to weather a worst-case scenario economic downturn.
Wondering how terrifying the adverse scenario is... well it is certainly a big drop BUT expectations that it will all be forgotten in a couple of years seems a little ambitious if we ever see these kind of collapses again...
LOL OK, we will just see how true this is when SHTF scenario. wont we???
http://www.zerohedge.com/news/2019-06-21/all-banks-pass-fed-stress-test-would-lose-410-billion?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+zerohedge%2Ffeed+%28zero+hedge+-+on+a+long+enough+timeline%2C+the+survival+rate+for+everyone+drops+to+zero%29
Realist - Everybody in America is soft, and hates conflict. The cure for this, both in politics and social life, is the same -- hardihood. Give them raw truth.
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