Wall Street reform bill passed by Senate

The United States Senate has finally passed the Wall Street reform bill. The Senate first voted to stop debate and bring it to a vote. It was expected to pass, as 50 of the required 51 votes were already pledged. The final vote was a 60 to 39 sweep. The President's desk is the next stop for the bill. President Obama is expected to make the decision to sign or veto the bill by sometime next week.

Wall Street reform bill finally passes

The Senate first had to vote to kill discussion. The measure to kill debate, according to CNN Money, passed 60 to 38. 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. There is nevertheless Republican opposition to the bill in both houses.

What the bill will do

The bill is largely aimed at Wall Street. Specific trading and betting on the market is affected, including securities, derivatives, and repackaging and selling debt. The Wall Street reform bill also creates mandatory middle men, so firms are more insulated from each other. There will even be an advisory board created that will determine how to break up mega firms on the brink of collapse. The bill also creates a consumer financial protection agency, which will aim to shore up mortgage loans, credit cards, and other consumer lending such as payroll 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. A slight majority believed it could have only minor effects. The House Minority Leader John Boehner has already called for the repeal of the bill and Senate Minority Leader Mitch McConnell said it will "stifle growth and kill jobs ." The bill authorizes an audit of the Federal Reserve only after it makes emergency money and doesn't address Freddie Mac or Fannie Mae at all.

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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

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