The Federal Reserve released hypothetical scenarios for its annual stress tests, which seek to evaluate the resilience of big banks and ensure they can keep lending even in a severe recession.

Six major U.S. banks won't be required to make submissions for the Fed's Climate Scenario Analysis Exercise because that program's been shut down, sources say.

The Federal Reserve has informed Wall Street banks that they will not be required to participate in climate stress tests, according to Bloomberg News. The decision affects lenders such as JPMorgan Chase & Co.

The Federal Reserve announced on Wednesday it would be testing big banks against heightened stress in commercial and residential real estate markets as part of the U.S. central bank's annual stress tests.

The stress test changes bolster the case made by Wall Street analysts that U.S. banks will face a friendlier regulatory regime under the Trump administration.