Federal Reserve sets Citi limits

Citigroup failed part of the Federal Reserve's stress test, leading the Fed to object to its capital-return plans

JP Morgan Chase and James Dimon got the banking party started on Tuesday. Unfortunately for Vikram Pandit, he and Citigroup weren't invited.

Shortly after the Federal Reserve disclosed to financial institutions the results of "stress tests" around midday, JP Morgan announced it had passed the exam, would increase its quarterly dividend to 30 cents a share from 25 cents and had authorised $15bn in share buybacks through early 2013.

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