U.S. banks and business groups have filed a lawsuit against the Federal Reserve, claiming its annual stress tests for banks violate legal standards. The lawsuit, filed in Ohio, involves the Bank Policy Institute and the U.S. Chamber of Commerce. They argue that the Fed's methods for assessing large banks during hypothetical economic downturns lack transparency and proper administrative procedures. The Fed has not commented on the matter.
U.S. stock markets closed early due to the holiday season, with tech stocks driving a strong performance. The Dow Jones rose 0.91%, the S&P 500 gained 1.1%, and the Nasdaq climbed 1.35%, surpassing 20,000 points. This marked the beginning of the "Santa Claus rally," a period typically yielding a 1.3% return for the S&P 500.
Apple (AAPL, Financial) stock reached a new high, closing up 1.15% at $258.20, with a market cap of $3.9 trillion. Analysts attribute the rise to investor enthusiasm for AI and expectations of a strong iPhone upgrade cycle. Major banks remain optimistic about Apple's future performance.
