A group of large US banks comfortably cleared the Federal Reserve’s annual stress test, setting the stage for lenders to boost buybacks and dividends for shareholders.

NEW YORK (AP) — All the major banks passed the Federal Reserve’s annual “stress tests” of the financial system, the central bank said Friday, but the test conducted by the central bank was notably less vigorous than it had been in previous years.

All the major banks passed the Federal Reserve’s annual “stress tests” of the financial system, the central bank said Friday, but the test conducted by the central bank was notably less vigorous than it had been in previous years.