From Payments Source
From the American Banker
“Comprehensive regulatory relief…failed to gain passage despite Republican majorities in the past Congress, but will likely be revived early in the legislative session,” the analysis said. “The looming court case around the constitutionality of the CFPB and an adequate majority will now give Republican leaders the confidence to move forward on restructuring the bureau and to pursue other changes to Dodd-Frank Act rules, the majority of which have already been finalized.”
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Due to a lack of clear and detailed banking-related proposals from the Trump campaign, the outlook from the administration for financial services is less certain, although Trump has expressed support for overhauling Dodd-Frank and said that small banks are especially being harmed by regulatory burden. The analysis noted that Trump will have the opportunity to appoint new heads of the CFPB, FDIC, Federal Reserve and OCC during his term.
The prospect of trade wars and a tax policy that could add $5 trillion to the deficit, as one research outfit has estimated, also may spell bad news for the economy. The banking industry would be among the first to suffer. More trading revenue will not offset all that.
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