FINANCIAL TIMES: … But the Volcker rule lives on, with regulators from myriad agencies led by the Federal Reserve and the Treasury trying to bring Mr Obama’s promise into practical reality and companies from Goldman to GE Capital fearing the outcome.
The stated purpose, as the president put it last year, is to “no longer allow banks to stray too far from their central mission of serving their customers”. Any financial group that benefits from insurance of deposits or access to support from the Federal Reserve should not engage in risky trading for its own profit.
On Tuesday the Financial Stability Oversight Council released a study into implementation of the rule, which had been eagerly anticipated by both bank lobbyists and proponents of tough restrictions on the industry. It will be followed by statutory rule-making, which could produce further changes…. (more)
