New financial regulation bill a farce

The financial reform that is about to be passed is a farce. Like so much in Washington, it is strictly for the tourists. The following article from Sox First provides commentary on the legislation: You think the Obama administration's legislation to fix US financial regulation is going to change Wall Street? You're dreaming! Nothing has changed, investment banks are a protected species in the US. Hailed by some sections of the media as something that will put banks on a bigger leash, the reality it does nothing of the sort. It's just a massive con because of the way the legislation treats derivatives, the instruments that Warren Buffett described as the weapons of financial mass destruction that destroyed institutions like Lehman Brothers. After much lobbying by Wall Street, financial firms will still be allowed to hold onto those businesses that buy and sell derivatives products like foreign exchange and interest rate swaps. It's only...(Read Full Post)