Washington — The Federal Reserve has given Wall Street banks the green light to resume billions of dollars of stock buybacks, noting that the industry has held up well during the coronavirus pandemic.
While lenders remain barred from boosting their dividends in the first quarter, the Fed’s decision is a partial but significant win for banks that have been eagerly awaiting permission to boost capital distributions. The central bank revealed the looser restrictions on Friday, as it also disclosed that firms performed well in a second round of 2020 stress tests that assessed how the industry has navigated the Covid-19 tumult...
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