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Tag: Yellen

Yellen: Don't water down post-crisis rules

Yellen: Don't water down post-crisis rules

Business
The world's most powerful central banker has warned against watering down regulations put in place following the financial crisis.Janet Yellen, chair of the US Federal Reserve, said rule changes had made the system "undoubtedly safer".She insisted there was no evidence that regulatory changes had either acted as a drag on economic growth or hindered the ability of banks to lend.Her comments will be seen as a warning to the White House not to water down regulations put in place after the crisis.Many Republican politicians have been urging a loosening in regulations, in particular the Dodd-Frank Act, which became law in 2010 and which aimed to protect consumers by ensuring no bank could be "too big to fail".Speaking at the annual gathering of central bankers at Jackson Hole, Wyoming, Ms Yell...
Yellen Fails To Deliver But Is The Dollar Dead?

Yellen Fails To Deliver But Is The Dollar Dead?

Finance
Shutterstock photoInvestors have been skeptical of the Fed's hawkishness in the days leading up to Janet Yellen's testimony and when she failed to sufficiently emphasize the improvements in the economy, the dollar U-turned as the bulls abandoned their trades quickly. USD/JPY dropped below 113 and EUR/USD rose to 1.1480.  However by the end of the North American trading session, USD/JPY moved back above 113 to settle above this key level and EUR/USD came off its highs after having dipped briefly below 1.14.  This leads investors to wonder if we've seen the end to the dollar's rally, at least for the time being.  To answer that question, we need to look at what Yellen said. In her prepared comments, she said additional gradual rate hikes will be needed over the next few years but rates won't