SheBair is oddly pulling a Geithner, flip flopping around the prop trading ban proposal. Just like her nemesis, she's adopting a "yeah, it's a great idea but I don't know" attitude toward Obama's proposal.
At Wednesday's AIG hearing, Congressman McHenry asked Timmy G. how he could back the Volcker Rule while having said that he was opposing a Glass-Steagall return, screaming at him: "How do you reconcile those two beliefs? They are direct opposites"
It was excruciating to watch Timmy G. adopt his best Bambi look and mumble something along the lines of "I want my mommy."
Now, Sheila, who is a bit more loquacious, is saying that while the proposal is "helpful," it doesn't address the problems at the heart of the crisis, as it's not really what brought down Lehman, AIG, F&F and Bear.
"As another piece of reform, it's very positive, but I think everybody acknowledges, though, that most of this did not occur inside insured depository institutions," Bair told reporters on the sidelines of an FDIC symposium on interest rate risk.