Moody's Investors Service ("Moody's") has today placed Truist Bank's (P)Prime-1 short-term bank note program on review for downgrade. RATINGS RATIONALE / FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS This rating action is based on the 7 August 2023 rating action on Truist Fin...
This commentary reviews the Federal Reserve's annual stress test with a primary focus on commercial real estate (CRE). Key highlights include: •Positively, all 23 banks in this year's iteration cleared the Federal Reserve stress tests and would all be able to continue to lend supporting the economy. •This year's stress test included heightened stress scenarios, especially around CRE. Next to credit cards, CRE had the highest loss levels of any asset class. •Preliminary stress capital buffers (S...
This commentary analyzes the results of the latest round of the Federal Reserve’s Dodd-Frank Act stress testing. The stress testing evaluates the banks' resilience to a severe hypothetical downturn. Key highlights include: -- All 23 banks cleared the stress tests and many have announced plans for capital distributions with more expected to be announced with second-quarter earnings. -- Of the 14 publicly-traded U.S. banking companies participating, ten have announced plans to increase their co...
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