Thursday, May 31, 2018

SURPRISE! BOMBER TRUMP LOOKS TO ENABLE HIGH RISK GAMBLING OF BIG WALL STREET BANKS

Bomber Trump said he wanted Glass-Steagall.

The Republican platform said they wanted it.

So did the Democrat platform.

But Bomber Trump's pick for Secretary Treasury, Bonesman Steve Mnuchin, slammed the door shut on that very quickly.

Last week a bill was passed to exempt the small to medium sized banks from parts of the legislation passed after the Roger Stone-enabled financial crisis of 2007/8 which was designed to stop Wall Street doing the same thing again. But it now looks like Bomber Trump, and without Glass-Steagall, is about to unleash the big banks of Wall Street from some of that legislation so that they can go on a high risk gambling spree again.

With Bomber Trump it's just one betrayal and let down after another...except when it comes to Israel.

Big banks are getting a big reprieve from a postcrisis rule aimed at curbing risky behavior on Wall Street.

Federal bank regulators on Wednesday unveiled a sweeping proposal to soften the Volcker Rule, a cornerstone of the 2010 law that was enacted after the financial crisis to rein in risky trading. The change would give Wall Street banks more freedom to make their own complex bets — activities that can be highly profitable but also leave them more vulnerable to losses.

The rule, part of the broader Dodd-Frank law, was put in place to prevent banks from making unsafe bets with depositors’ money. It took five agencies three years to write it and has been criticized by Wall Street as too onerous and harmful to the proper functioning of financial markets. On Wednesday, the Federal Reserve proposed easing several parts of the rule, and four other regulators are expected to soon follow suit, kicking off a public comment period that is expected to last 60 days.

The loosening of the Volcker Rule is part of a coordinated effort underway in Washington to relax rules put into place in the wake of the 2008 financial crisis. Big banks, emboldened by President Trump’s deregulatory agenda and a more favorable political climate in Washington, have begun pressing for changes to several postcrisis rules, including the Volcker Rule.

[source : Big Banks to Get a Break From Limits on Risky Trading, New York Times, https://www.nytimes.com/2018/05/30/business/volcker-rule-banks-federal-reserve.html?hp&action=click&pgtype=Homepage&clickSource=story-heading&module=first-column-region®ion=top-news&WT.nav=top-news, 30th May 2018]

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