After a meeting of the Treasury’s Financial Stability Oversight Council, Departmentspokesman Anthony Coley said the results of ongoing inquiries into major trading losses at JPMorgan will figure in the final shape of forthcoming regulations, including the Volcker Rule, meant to prevent banks from speculating with depositor funds.
“As part of that meeting, members received a preliminary briefing from the Federal Reserve, OCC, SEC and CFTC on the recent losses at JPMorgan Chase & Co,” Coley said. “Those regulators are still in the process of conducting their evaluation of what happened and why. That examination is an important input into the ongoing effort to design safeguards and reforms, including those in the Volcker Rule, so that mistakes in judgment at individual banks are less likely to threaten the broader financial system and economy. FSOC members will remain focused on these issues and return to them and others at their next scheduled meeting of the Council in June.”
