Goldman Sachs also affected: Fed miscalculates in stress test

The US Federal Reserve has to correct the results of its last bank stress test. Five banks are affected. It's not the first miscalculation of its kind.

The US Federal Reserve (Fed) has miscalculated in the bank metrics of the latest stress tests. The Fed admitted on Friday that there were errors in calculating the banks' hypothetical trading losses. The revisions affect Goldman Sachs and four other banks.

Goldman Sachs and Morgan Stanley later stated in separate press releases that they wanted to slightly lower their stress capital buffer. As a consequence of the 2008/09 financial crisis, the Fed tests every year to see how the large houses active in the USA can cope with an economic crisis. In June, it also examined the effects of the corona pandemic on banks' capital.

The stress test calculations have often broken down in recent years. Among other things, the core capital ratios of some banks were subsequently corrected in 2014.