The rules on derivative trading will still allow the bulk of derivatives to be traded directly out of banks rather than separately capitalized divisions of the holding company: Leading Economist.

July 16, 2010 (Hamsayeh.Net) - Leading US economist question the newly passed reform bill aimed at regulating the financial sector, which now closely resembles a large casino.

Economist, Dean Baker, issued a statement on the passage of the new bill by US Congress. In the US major academicians and capable scholars are normally ignored while leap services providers backed by an omnipresent Zionist lobby inside the United States are given major roles to play.

In his statement Dean Baker the positive steps taken to regulate the financial market, but mentions that US financial establishment require a far more stringent bill for its proper functioning.

The Obama administration introduced some minor regulatory measures that would have no real power to oversee unlawful practices of major players including the country’s big to fail banks at any time in the future.

‘On the negative side, there is little in this legislation that will fundamentally change the way that Wall Street does business. The rules on derivative trading will still allow the bulk of derivatives to be traded directly out of banks rather than separately capitalized divisions of the holding company. The Volcker rule was substantially weakened by a provision that will still allow banks to risk substantial sums in proprietary trading.’ Explained Dean Baker in his statement.

In United States major corporations and banks usually find a way to go round every possible regulatory measure that could hold them accountable, thanks to their extensive influence within the government.