Fed requires major banks to hold more capital

The eight biggest banks in the U.S. have to hold significantly more capital to protect themselves from collapse under rules finalized by the Federal Reserve. “This final rule will confront these firms with a choice: They must either hold substantially more capital, reducing the likelihood that they will fail, or else they must shrink their systemic footprint, reducing the harm that their failure would do to our financial system,” said Janet Yellen, head of the central bank.