Wall Street ends at multi-year highs on Fed

(Reuters) – U.S. stocks rose for a fourth straight session on Friday to close out the week at nearly five-year highs after the Federal Reserve took bold action to spur the economy, a move that could keep equities buoyed in the coming months.

Shares of Apple Inc, the largest U.S. company by market value, ended at an all-time peak, and Exxon Mobil, the second biggest, hit a four-year high.

Equities are in a run-up that has pushed the S&P 500 to end higher for four consecutive months. The extended advance has come mainly from actions by Europe’s and the United States’ central banks to keep interest rates low and stimulate their struggling economies.

The Fed said Thursday that it would keep up its aggressive bond-buying until unemployment falls. Read more of this post

Bernanke says Fed to make bank rules clearer

Reuters–  The Federal Reserve will try to make it clearer whether new banking rules apply to small lenders, Federal Reserve Chairman Ben Bernanke said in remarks on Wednesday.

Bernanke said the goal is to prevent community banks from wasting time and money trying to figure out if a new regulation applies to them.

“Although this change seems relatively simple, we hope it will help banks avoid allocating precious resources to poring over supervisory guidance that does not apply Read more of this post

Four US banks fail Federal Reserve stress test

BBC-  Four US financial institutions, including Citigroup, have failed stress tests designed to show they could withstand a financial shock.

The Federal Reserve said Citi, SunTrust, Ally Financial and MetLife failed to show they have enough capital to survive another serious downturn.

Citigroup is the third-largest US bank. The majority of the 19 tested passed.

All those tested are in a much stronger position than Read more of this post

Fed says top banks fared well in stress tests

Reuters– The majority of the largest banks will continue to have enough capital to satisfy regulators, even if they suffer a financial shock that includes unemployment hitting 13 percent and a 21 percent drop in housing prices Read more of this post