Obama to meet with financial regulators on Wall Street reform law

WASHINGTON Sun Aug 18, 2013 9:55pm EDT

A trader works on the floor of the New York Stock Exchange shortly before the end of the day's trading in New York July 31, 2013. REUTERS/Lucas Jackson

A trader works on the floor of the New York Stock Exchange shortly before the end of the day's trading in New York July 31, 2013.

Credit: Reuters/Lucas Jackson

WASHINGTON (Reuters) - President Barack Obama will sit down with the leading U.S. financial market regulators on Monday to discuss their progress in implementing the 2010 Wall Street reform law, the White House said on Sunday.

The Dodd-Frank law was passed by the then-Democratic-controlled Congress with Obama's support as a response to the 2007-2009 financial crisis. It aims to prevent large, complex financial firms from imperiling markets should they collapse.

It imposed new rules for over-the-counter derivatives, required banks to hold more capital, established a new federal agency charged with protecting consumers from predatory lending and laid out a series of reforms targeting numerous other financial firms, such as hedge funds and private equity funds.

The White House said it expects the heads of the Securities and Exchange Commission, Commodity Futures Trading Commission, Consumer Financial Protection Bureau, U.S. Federal Reserve, Office of the Comptroller of the Currency, Federal Deposit Insurance Corp, Federal Housing Finance Agency and the National Credit Union Administration to attend the meeting Monday afternoon.

Treasury Secretary Jack Lew will also participate, the Treasury Department said on Sunday.

Although the Dodd-Frank legislation was signed into law by Obama more than three years ago, many of the rules have yet to be completed.

The CFTC has made arguably the most progress of any regulator, finalizing the majority of the rules for the over-the-counter derivatives marketplace. Most of the other regulators still have a relatively long way to go.

As of July 15, the law firm Davis Polk found that a total of 279 Dodd-Frank rulemaking requirement deadlines had passed. Of those, only 38.4 percent were met with finalized rules, while a total of 61.6 percent were missed.

Among the major outstanding regulations that must be completed include rules targeting asset-backed securities markets, credit-rating agencies and the Volcker rule, a measure named after former Federal Reserve Chairman Paul Volcker that restricts banks from engaging in proprietary trading.

(Reporting by Sarah N. Lynch; Editing by Paul Simao)

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Comments (3)
TheNewWorld wrote:
“Lew pocketed a $940,000 bonus from Citigroup in early 2009, just as the bank was receiving $45 billion from taxpayers. In other words, Obama has nominated one of the very bloodsuckers he has been warning America about for four years. Lew – who took a two-year break from a lifetime of living off taxpayers — was there for a handout. He was chief operating officer of a $54 billion hedge fund and private equity division that lost nearly $500 million in one quarter betting against the housing market — or as Joe Biden might say, betting against America.”

This was Obama’s choice for Treasury secretary.

Aug 18, 2013 10:08pm EDT  --  Report as abuse
tmc wrote:
Just the size and attendees of the meeting mean it is just a political photo op. It has been five years and little to nothing has been done. The big five are bigger than ever.
Welcome to the USCA.

Aug 19, 2013 8:19am EDT  --  Report as abuse
Overcast451 wrote:
HAHAHAHAHAH!!!!!!

I’m sure it will be to Wall Street’s advantage. Kinda like that BS ‘Anti-Sherman Trust Act’. Sure, it prevented a ‘monopoly’ of *one* corporation.. of course then it opened the door for one corporation to own another – and made it pointless. Now they are even bigger and more powerful.

This won’t help ‘people’ – it will help bankers, wall street, and probably do more to further Obama’s agenda of destroying the US economy.

Aug 19, 2013 8:56am EDT  --  Report as abuse
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