The federal reserve is again telling banks what to do


Companies were looking at layoffs and that's concerning some reserve also making news this past week it's taking a look at banks of the stress test came out and it looks like bank stocks took a hit on that news of what's your assessment of what to happen there yeah even though it wasn't as bad as some people had expected in the marketplace the markets did not imply that the federal reserve is again telling banks what to do with that dividend payments to investors and what to do with buy back programmes when they go out and they buy back stock to the marketplace doesn't feel comfortable about having the federal reserve again in the decision making process when it comes to what banks are doing giving back money to shareholders having said that what the fed is trying to do and it also has been done in Europe to a much larger degree than here is to ensure that the banks stay sound and safe therefore have a higher capital by not paying out money while also continuing to lend to the real economy so that is what's behind the fed action is not as severe as what we saw in your but

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