Big us banks wanted to be Michelle Bowman, the new supervisor of the Federal Reserve – and this is what they got.
On Monday, President Trump appointed the ruler of the Federal Reserve and former Banking Commissioner in Kansas as his choice to be the next vice president for supervision, which makes Bowman the strongest bank organizer in Washington, DC.
The large financial institutions in Wall Street do not hide their approval to choose.
“I will be excited to see Mickey Bowman’s appointment,” David Solomon, CEO of Goldman Sachs (GS) said in an interview with Fox News last week, after several media outlets were reported.
“I think the industry will be excited.”
David Suleiman, CEO of Goldman Sachs. (Reuters/Mike Blake) ·Reuters / Reuters
The reason is that Bowman is likely to supervise the giant American banks in a new direction because the Trump administration shows that it wants to lift restrictions on lenders and reform an organizational framework that was set after the 2008 financial crisis.
Ian Katz, the administrative director of the capital Alfa, said last week that the appointment of Bowman was seen as “a major and friend of the bank.”
Katz, for example, Powman is expected to have a fundamental role in giant launch in the giant lender Wales Fargo (WFCIt is the approval of the Federal Reserve 2018, which restricts it from the growth of any larger.
Read more: How does the Federal Reserve Price decision affect your bank accounts, loans, credit cards and investments
Bowman is also expected to reconsider a new set of controversial capital rules proposed by the former Vice President to supervise Michael Bar, which would have been required to allocate larger stores to future losses.
The requirements are based on an international set of capital requirements known as Basel III imposed in the decade following the 2008 financial crisis.
Bowman said in a statement on Monday night if she won a confirmation from the Senate, she will encourage a safe and safe banking system through a practical approach to supervision and organization through a transparent and specially designed banking framework that encourages innovation.
US Federal Reserve Governor Michelle Bowman. (Eric Paradid/AFP via Getty Images) ·Eric Paradat via Getty Earth
Some opposition may still face senator Elizabeth Warren, the democratic rank of the Senate Banking Committee.
Warren said in her statement on Monday evening that she “has deep concerns” that the appointment of Bowman “will cause another cycle of canceling the restrictions in Wall Street, bank accidents, and rescue operations that endangered families with danger, while leaving senior executives from the bank.”
Currently, though, Buman’s nomination is a clear indication of the Trump administration that the White House wants changes to how lenders are organized.
Hopes of cancellation of restrictions on the banking industry helped to push the shares of the Supreme Bank after Trump’s victory in the November elections, as well as optimism about a recovery in mergers, acquisitions, initial public offers, and lending of simple vanilla.
But until now in the second period of Trump as a president, things have become more complicated for banks and their investors, as new police officers to combat monopoly also indicate that they will not provide a free pass for large integration and new doubts that surround the president’s tariff plans that do not make sure of great steps.
The KBW Nasdaq Bank, a major indicator of the American banking sector (^BKX) increased by up to 15 % to its peak in February, but wiped post -election gains during the past month, and now decreased by 1 % of the election night.
Nasdaq Gids – Delayed quotation•US dollar
Near: March 18 at 5:15:59 pm EST
The hopes of the mobility and purchase mutation are also in the question. Last week, Goldman Sachs reduced its expectations for incorrect and purchase deals in 2025, expecting that the increase in size will now be 7 % instead of 25 %.
There are other constant complications for banks as well.
Some wander around whether they “did” some customers to hold conservative views or work in the encryption industry.
The conflict in Davos, Switzerland, began in January when the President dismantled the CEO of Bank of America (BAC) BRIN Moinnan and CEO of JPMorgan Chase (JPM) Jimmy Damon. Both banks have denied this claim.
The President’s Family Company also filed a COF COF lawsuit (COF), claiming that the bank lender and the main credit cards ended hundreds of its commercial accounts in the aftermath of January 6, 2021, on the Capitol in the United States.
A capital spokesman Yahoo told a financing that “he had no customer accounts for political reasons.”
Citigroup (C) has been drained in the political battles of the new administration for a different reason.
A lawsuit against the New York -based bank was filed through a non -profit climate that focuses on United climate, after billions of federal grant funds were frozen in the Trump administration’s direct order on February 18. City Group was contracted as responsible for some government financing.
Lee Zealin, director of the Environmental Protection Agency last week, said that the Environmental Protection Agency from the Trump Administration had stopped $ 20 billion in granting to a comprehensive review based on its concerns about “software fraud, waste, abuse, and imbalance with the agency’s priorities.”
The bank’s lawyer wrote in one of the places that were published last week: “Citibank … did her best to serve her customers with instructions from the United States government, which Citibank owes the duty of loyalty and those directed by Citibank in terms of behavior,” the bank’s lawyer wrote in one of the places that were published last week.
David Hollerith is a great correspondent for Yahoo financing that covers banking, encryption services and other areas of financing.
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