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Fed Warns Major Hurricane Could Spark Loan Defaults Among Top U.S. Investment Banks, New Analysis Reveals.

The Federal Reserve has revealed that a major hurricane in the Northeast could trigger a wave of defaults on loans offered by Wall Street banks. The analysis, which is based on data from the banks themselves, involved the six largest investment banks in the U.S. The Fed required them to simulate climate disasters, including extreme hurricanes, fires and floods, and a rapid transition away from fossil fuels. The result was released in a 46-page document.

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