Trade groups representing the country’s biggest banks sued the Federal Reserve on Tuesday, accusing it of using an opaque process to test banks’ resiliency during annual stress tests.“The Board’s lack of transparency results in significant and unpredictable volatility in banks’ capital requirements,

Major banks and business groups sued the Federal Reserve on Tuesday, alleging the U.S. central bank's annual "stress tests" of Wall Street firms violate the law.

The Federal Reserve doesn’t allow for appropriate public input when designing bank stress tests, bank trade groups said in a lawsuit seeking to force the central bank to open the design of the tests to public comment.