Posted on 05/01/2017 9:59:01 AM PDT by gwjack
Stocks drop after Trump says he's actively considering breaking up big banks
Headline only at this time.
Is there a Trump Tweet or something else to back up this claim of breaking up big banks?
Smells like Fake News to me.
He also said the Constitution is archaic and that he may change the First Amendment.
He says a lot of things.
Eventually, either the markets and other leaders are going to ignore him or he is going to learn that not every thought needs to be broadcast.
Why fake? Needs to happen. Stocks are bubbled.
Before the big bailout there were tons of small local bank, competition, and sound financial decisions. The bailout and following regulations forced a lot of them out of business. The only ones who benefited were the too big to fail banks
Sounds like more of the same yada, yada, yada, yada blather to me.
Hope stops investment services at comminity banks. Kills small business start ups and growth.
Hi Responsibility2nd. It always good to be a skeptic. But in this case there is some reality to it. It’s not fake news. Released now is the story from Bloomberg.com in which Trump directly said in an interview that he’d consider breaking up big banks, and it is now being reported he is open to raise the gas tax. https://www.bloomberg.com/politics/articles/2017-05-01/trump-says-he-s-considering-moves-to-break-up-wall-street-banks
Gwjack
If that is true, then how is this “Big Banks” fault?
And if it is - should Trump and the FedGov really take down this industry as the liberals took down the medical profession with ObamaCare?
Nope don’t see any drop of any importance.
Nothing Trump wants is in the CR and what he does through EO is blocked by the courts. Let me know if Trump ever gets control of the government then maybe things can change. Unless and until that happens it’s business as usual. In a year from now thi forum will be filled with people telling us to stay the course.
Governmental (including the Fed) regulatory policies favor large institutional banks. They allow them to gobble up smaller competitors who could not afford the overhead required to stay in compliance with an increasing number of rules and requirements.
If this is a move tied to reducing regulation and increasing competition, good.
Sounds like a buying opportunity if there’s real underlying value.
You don’t have to break them up, you just have to NOT bail them out when they are stupid and their investors are stupid.
Yes, they can hurt a lot of people when they go down. But bailouts hurt us on top of that. That’s just stupid.
Fine.
Glass-Steagal should be reinstated.
Vertical integration of finance is not a blessing, anymore than would car manufacturers owning most of the oil & tire industries as well.
Market trading, investment banking, insurance, pensions and retail banking all have different and necessarily different financial functions and different fiduciary responsibilities. Many points of error and reduction in competition have resulted from the consolidation of the different financial functions into financial conglomerates.
The ONLY thing that has “gained” from it is the size of financial companies and the reduction of how many companies represent the vast majority of assets in the industry.
LEVERAGE for building the WALL?
Thanks for the link.
Restoring Glass-Steagall is not necessarily going to “break up big banks”.
Anyway - he’s giving thought to this. We shall see.
Bingo.
Bailouts are the ultimate driver of corrupt monopoly creation (and maintenance).
Doesn’t matter if a bank is big or small. If they make bad decisions they (and their shareholders) should pay ... not the entire American population.
At some point we will have to break them up, or face a replay of the 2008 financial crisis, on steroids.
Dow down 9 points. Only up 1000+ points since the election. We’re doomed!
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