The United States Senate has officially passed the Wall Street reform bill. The Senate first voted to stop discussion and finish the voting. It was expected to pass, as 50 of the required 51 votes were already pledged. The final tally was a sweeping victory for the bill, passing 60 to 39. The bill could be sent to the President for approval. The President’s decision is expected by next week at the latest. Source for this article – Wall Street reform bill passes the Senate by Personal Money Store.
Wall Street reform bill finally passes
Before the final vote on the bill, the United States Senate had to quash discussion. The measure to kill debate, according to CNN Money, passed 60 to 38. Soon afterwards, the final vote began. Since spring 2009, a financial reform bill has been expected. The support of some Senate Republicans was needed to get the bill passed. There is still Republican opposition to the bill in both houses.
What effects the bill has
The bill is largely aimed at Wall Street. Specific trading and betting on the market is affected, including securities, derivatives, and repackaging and selling debt. Certain trades are mandated to go through middle men by the Wall Street reform bill, to create better insulation between trading houses. There will also be an advisory board created that will choose how to break up mega firms on the brink of collapse. The bill also creates a consumer financial protection agency, which will aim to shore up mortgage loans, credit cards, and other consumer lending like payroll loans. The Consumer Financial Protection Bureau will be part of the Federal Reserve.
The critics weigh in
The Wall Street Journal asked some economists whether they would have voted for it, and only half said they would. The economists the WSJ surveyed mostly believed the effects would be minimal at best. House Minority Leader John Boehner, R – OH, has already called for its repeal, and Senate Minority Leader Mitch McConnell, R-KY, says it will “stifle growth and kill jobs.” The bill authorizes an audit of the Federal Reserve only after it makes emergency money and doesn’t address Freddie Mac or Fannie Mae at all.
More details about this topic at these websites
money.cnn.com/2010/07/15/news/economy/Wall_Street_reform_bill_vote/index.htm
money.cnn.com/2010/06/25/news/economy/whats_in_the_reform_bill/index.htm?postversion=2010063018
online.wsj.com/article/SB10001424052748703722804575369050948609966.html
