AFR in the News: Credit Default Swaps Made European Debt Crisis Worse: Study
Credit Default Swaps Made European Debt Crisis Worse: Study – Mark Gongloff (Huffington Post)
April 27, 2012
“While many may disagree with the concept that speculation in CDS moves markets, it’s a lot harder to disagree with that. Unless, that is, you are on Wall Street, where disagreeing with derivatives transparency is a full-time job. And a successful one at that — the financial industry has won rollback after rollback of Dodd-Frank derivatives regulation rules. The latest victory came this week, when the House of Representatives passed the “Small Business Credit Availability Act,” which exempts more banks from derivatives oversight.”Despite the title, this legislation has nothing to do with the regulation of small business,” the consumer group Americans for Financial Reform wrote this week in opposition to the bill. “Instead, it represents an effort by major financial entities to expand already extensive exemptions they were given in both the original Dodd Frank Act and in rules currently being finalized by regulators.” Click here for more.