Obama signs Wall Street overhaul
US: President Barack Obama signed into law Wednesday the most
comprehensive financial regulatory overhaul since the Great Depression,
vowing to stop risky behavior on Wall Street that imperiled the US.
economy.
Influential business groups lined up to criticize the new law,
underscoring Obama’s uneasy relationship with America’s business
community. Some on Wall Street, however, welcomed the clarity offered by
the law after months of wrangling in Congress over what should be in the
legislation.
The law, which got final approval from the Senate last week, targets
the kind of Wall Street risk-taking that helped trigger a global
financial meltdown in 2007-2009 and also aims to strengthen consumer
protections.
Obama, facing voter unrest over Wall Street bailouts that have failed
to spark a strong Main Street job recovery, pledged taxpayers would
never again have to pump billions of dollars into failing firms to
protect the economy.
“Because of this law, the American people will never again be asked
to foot the bill for Wall Street’s mistakes,” Obama said at a signing
ceremony attended by some Wall Street bankers, business leaders and
lawmakers. “There will be no more taxpayer-funded bailouts. Period.”
With Republicans poised to make gains in the November congressional
elections, Obama’s Democrats are eager to show voters that they have
taken steps to tame an industry that dragged the economy into its
deepest recession in 70 years.
Obama and Democrats have yet to gain political traction from the
legislative victory, with Americans still anxious about a 9.5 percent
jobless rate and ballooning deficits.
The financial regulatory reforms were a major achievement for Obama
and his ambitious domestic agenda. Earlier this year he signed into law
sweeping reforms of the United States’ $2.5 trillion healthcare system.
The financial reforms won Democrats few friends on Wall Street.
Wealthy donors have started to steer more campaign contributions to
Republicans, who voted overwhelmingly against the reforms. Washington,
Thursday, Reuters |