At least three of the nation’s 19 largest banks have passed government stress tests of their financial strength. American Express, Bank of New York and JP Morgan Chase will not be asked to raise more capital according to federal officials. American Express and JPMorgan would not comment, and a Bank of New York Mellon representative did not immediately respond to requests for comments.

The stress tests were designed to see how the large banks and finance companies would fare if the economy worsens.  Although Citigroup will be asked to raise more money, the amount is much less than what experts believed they would need.  Shares of Citi should continue to climb higher as they are now being singled out as one of the winners of the government’s stress test.  Bank of America and Wells Fargo also will have to raise money, aaccording to the results of the tests.

The stress tests are a centerpiece of the new Obama administration’s plan to stabilize the financial industry. They measure how much the banks would be hurt if unemployment rose to 10.3 percent and home prices dropped an additional 22 percent The government wants the firms to have enough money to keep lending even if the economy gets much worse. Officials have said none of the banks will be allowed to fold.