“Is Trump About To Cause Another Crisis?”: 2008 Could Be Eclipsed As Bank Restrictions Eliminated | Zero Hedge

Beware of what may be coming next. We already know the establishment has a plan to blame President Trump for the next financial crisis, and now there are moves being made that will support that narrative.

Donald Trump is expected to order a review of the Dodd-Frank Act, which was implemented in the aftermath of the 2008 financial crisis to prevent a repeat of the worst financial crash since the Great Depression. […] council has the right to break up banks that it thinks could pose a systemic risk to the global financial order. It also has the ability to demand that banks hold higher reserves, or cash buffers, to minimise a squeeze. Separately, the Dodd-Frank Act also created the Consumer Financial Protection Bureau, to oversee consumer financial products, such as mortgages. A key part of the Act is the Volcker Rule, which restricts the way that banks are allowed to invest and places restrictions on speculative trading. It also restricts banks from engaging in so-called proprietary trading, or trading for the firm’s direct gain, instead of on behalf of a client. So in effect, the rule is designed to separate the investment and commercial businesses of banks.

Source: “Is Trump About To Cause Another Crisis?”: 2008 Could Be Eclipsed As Bank Restrictions Eliminated | Zero Hedge

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