Powell hinted at the same yesterday
What separates Powell from Yellen is regulation. His big speech in the run-up to the decision on who would be the next Fed leader was all about deregulation. It’s a theme he’s continued and one he touched on yesterday when he said the Volcker rule could be tweaked.
Well, one man’s tweak is another man’s full-scale change.
Reuters reports, citing sources, that US regulators are considering eliminating big banks’ responsibility to prove they do not trade on their own account. Other changes include allowing additional funds that banks can invest in, or making it clearer which ones are banned.