Thursday, October 4, 2012

Romney's Nuanced Debate Attack on Dodd-Frank

Three states have joined a lawsuit challenging the constitutionality of the Dodd-Frank Act, complaining that it gives the government too much power to take over and liquidate nonbank companies whose failure wouldRepublican presidential candidate Mitt Romney took aim at Dodd-Frank financial reform during Wednesday's debate, but Rep. Barney Frank (D-Mass.), who co-authored the reform bill, didn't take the criticism too seriously.However, the plans have been delayed as regulators work to interpret an esoteric part of the 2010 Dodd-Frank financial overhaul, meant to make interest-rate swaps and other derivatives used in many debt securities safer in the wake of the financial crisis.The forward foreign exchange markets will become subject to provisions of the Dodd-Frank law which would require banks and some corporates to register as swap dealers. Impact on the spot markets may not be large but hedging of corporate cash flowsThe U.S. Commodity Futures Trading Commission, facing an Oct. 12 start date for a slate of derivatives rules, is being bombarded with requests from lobbying groups to ease or delay the Dodd-Frank Act measures. Trade associations representing
Related External LinksJohn Lunn's Basically Economics Blog: Dodd-Frank and the ...Trust Your Instincts: After repealing the Dodd-Frank Act, Romney ...Video: Bill Bartmann On Dodd-Frank, CFPB's Impact and Collection

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