In a private meeting with lawmakers yesterday (April 5), Trump’s economic advisor Gary Cohn said he supported a policy that could radically reshape Wall Street.
You see, the former Goldman Sachs Group Inc. (NYSE: GS) exec now supports a re-imposition of the Glass-Steagall Act – an idea that the U. S.’ two main political parties support – but that the country’s top banks loathe.
This is a change of heart for Cohn. In February, the investment banker voiced his disdain for bank regulation measures when he said it was time to ‘attack the red tape of Dodd-Frank’ in a FOX Business interview. Dodd-Frank is a less onerous regulation than Glass-Steagall. Bank stocks soared as investors considered the prospect of billions of dollars flowing back into their pockets. In fact, Goldman Sachs saw a jump of 1.29%.
However, now the White House National Economic Council director is calling for more bank regulation…
This post was published at Wall Street Examiner by Casey Wilson ‘ April 6, 2017.