Bernanke Agrees with Dimon on the Impact of Financial Regulation

FBN’s Charlie Gasparino reports that Fed Chairman Ben Bernanke agrees with JPMorgan (JPM) CEO Jamie Dimon that the Dodd-Frank Bill for financial reform lacks clarity. Despite rumors that Bernanke was annoyed by Dimon’s criticism, sources close to Bernanke tell Gasparino the Federal Reserve Chair does believe the bill is “hindering economic growth.” Because the “exact rules haven’t been written yet” banks are hindered in “their ability to lend money and kick start the economic recovery.” Excerpts from the report can be found below, courtesy of Fox Business Network.

On whether Bernanke was annoyed with Dimon for saying too much bank regulation is hindering economic growth:
“Sources are telling the FOX Business Network that Bernanke, after that little exchange, told people he agrees with much of Dimon’s criticism. He believes there is a lack of clarity on those rules and the lack of clarity on the rules in terms of capital and the other things banks have to do is hindering economic growth. He also believes, as Dimon pointed out, one of the problems with Dodd-Frank is basically engulfing the financial industry in a huge question mark. People don’t know what those exact rules are because they haven’t been written yet. That lack of clarity is hurting the banks and their ability to lend money and kick start the economic recovery. We went to the Fed, we asked them would you deny these are Bernanke’s sentiments and they would not deny it.”

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