Good timing for Goldman to hold its conference call early, ’cause no one is talking about them anymore. We knew it was coming, but Obama’s new restrictions on banks go beyond what was expected, sending bank stocks down. Taking the fight to another level, (and trust him, he will fight) Obama described proposed reforms that would limit the size and scope of banks.
My resolve to reform the system is only strengthened when I see a return to old practices at some of the very firms fighting reform. So if these folks want a fight, it’s a fight I’m ready to have.
The most stringent aspect -and what, unsurprisingly, is making Wall Street crazy angry- is the banning of prop desks at banks. The so-called Volcker Rule (“after this tall guy behind me”) will no longer allow banks to own, invest or sponsor hedge funds, private equity funds or proprietary trading operations.
