|Banks execs planning dividends will feel sharp pains following Fed stress testing.|
- Gross domestic product declining 4% vs. 1.5%.
- Unemployment reaching 13%, vs. 11%.
- Home prices falling 21% vs. 11%.
- Equity markets declining 52% vs. 27%.
The New York Times is buying Wirecutter for $30 million, while U.S. banks roll out Zelle, a money-transfer platform.
Monetary policy headwinds, legal issues and scandals have put the banking sector on edge this year.
Return on tangible equity is a key profitability measure for U.S. banks, and Citigroup is nowhere close to meeting the 10% threshold that CLSA analyst Mike Mayo says investors demand.