The Federal Reserve is slated to release its 2023 stress-testing results on Wednesday, June 28. Stress testing is a big deal for the largest and most complex banks in the country because it helps determine how much regulatory capital banks must hold and, therefore, how much excess capital banks have to return to shareholders.

After everything that has happened in the banking sector this year, investors and bank management teams are paying close attention to this year's results but are also not exactly sure what to expect, either.

While anything could happen, Fed stress-test results could end up turning into a big catalyst for Citigroup (NYSE: C) if the results come in better than expected. Let me explain.

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Source Fool.com