Senate passes Wall Street reform bill

The Wall Street reform bill has passed the United States Senate. The Senate first voted to stop discussion and finish the voting. 50 of the 51 needed votes for passing the bill were already promised, so an easy passage was expected. The bill passed 60 to 39. The President’s desk is the next stop for the bill. 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

The Senate first had to vote to kill discussion. The Senate voted 60 to 38 to bring it to a vote, as outlined by CNN Money. The final vote started minutes later. A financial reform bill has been within the works since spring 2009. The bill needed some key Senate Republicans to offer their support for it in exchange for alterations. Republicans of both houses still oppose the bill.

What the bill will do

Wall Street is the bills’ prime target. Certain trading practices are affected, concerning certain securities, derivatives, and debt bundling. The Wall Street reform bill mandates middle men be involved in certain kinds of trades, so firms insulate themselves from each other better. An advisory and regulatory board can be created that will choose the fate of huge firms that are collapsing. The bill also creates a consumer financial protection agency which will regulate credit cards, consumer credit like pay day loan, and mortgage loans. The Consumer Financial Protection Bureau can be part of the Federal Reserve.

The critics sound off

A survey of economists was done by the Wall Street Journal, asking whether they would vote for the bill, and only half said they would. The economists the WSJ surveyed mostly believed the effects would be minimal at best. John Boehner, R – OH, the House Minority Leader has already said it should be repealed, and Senate Minority Leader Mitch McConnell, R-KY, has said the bill will “stifle growth and kill jobs .” The bill also grants a minor oversight of the Federal Reserve, audits allowed only after emergency money are made, excluding monetary policy, and do not address Fannie Mae and Freddie Mac 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