Obama Not Helping

The Dow has dropped over 400 points over the past two days as President Obama stepped up his rhetoric on the big banks. The rest of the Street isn’t doing much better. In addition to a new tax, the White House is proposing to break up big banks by bringing back “the spirit of Glass-Steagall.” This attack certainly isn’t helping confidence much… and it is not going to jump start the lending that the president keeps demanding. Washington can’t continue its barrage on Wall Street and expect the economy to bear good fruit as a result. There are good ways of reforming the regulatory framework for financial services. The current administration route isn’t helping.