CCAR projected losses top half a trillion
Trading and counterparty losses made up 20% of total predicted losses across participants
The Federal Reserve’s latest stress tests reveal the 35 participating banks would suffer total losses of $578 billion in a severe recession – $98 billion more than last year.
Figures published by the Fed as part of this year’s Comprehensive Capital Analysis and Review (CCAR) show higher projected losses under its severely adverse scenario in all but two business segments versus the 2017 amounts.
Loans valued using accrual accounting, such as those in banks' held-to-maturity portfolios, made up
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