Is JPMorgan Speeding Up Implementation of the Volcker Rule?
JPMorgan’s (NYSE:JPM) huge trading loss has got the government machinery rolling towards implementing the Volcker rule, which bans speculation by banks using the firm’s money, with the White House getting into the act.
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According to a report in the Wall Street Journal, the White House is discussing the implementation of the regulation with the Treasury Department. The news of JPMorgan’s loss led President Obama to comment this week that it illustrated the need for Wall Street reform.
“It is because of the president that the Volcker rule is a part of the law, and our administration has worked since the day it passed to ensure it and the entire law is implemented in a tough and effective way so that taxpayers never again have to bear the burden of risky behavior on Wall Street,” White House spokeswoman Amy Brundage said when asked about the Journal report.