Wells Fargo & Co. The Federal Reserve is keeping the nation’s biggest banks on a tight leash. The regulator on Thursday ordered banks to cap dividends and suspend buybacks as a way of ensuring they stay healthy during the recession. The Fed said its annual stress tests showed that a prolonged downturn could saddle them with up to $700 billion in loan losses. Wells Fargo shares lost 7.4% Friday.

Source: Wall Street Journal June 26, 2020 23:15 UTC