Federal Reserve Chairman Bernanke delivered his Economic Outlook to the Joint Economic Committee earlier today, answering questions on recent monetary actions, the European sovereign debt crisis, and other macroeconomic concerns. Under questioning from Sen. Sanders (I-VT) about breaking-up the big banks, Chairman Bernanke responded that there are benefits to big banks and that the enhanced supervisory responsibilities mandated for SIFIs under the Dodd-Frank Act (see FSM Report SYSTEMIC29) should mitigate any danger they pose to the U.S. economy. He also said that the proposed Volcker Rule (see FSM Reports in the PROPTRADE series) will be released in the upcoming weeks. This report evaluates key financial-regulatory issues raised at the hearing.
The full report is available to retainer clients. To find out how you can sign up for the service, click here.