Seven banks fail to make the stress test grade

Seven European banks have failed the region's stress tests, designed to assess their ability to withstand a series of worst-case scenarios such as another recession.

EU policymakers will now be hoping that the news brings an end investor doubts in the sector, after Friday evening's (23 July) publication of the test results showed the vast majority of banks to have passed with flying colours.

"We support ... the transparency of this exercise, given the specific market circumstance...