The separation of U.S. banks is delayed

The separation of U.S. banks is delayed

Volcker regulation limiting bank speculation the U.S. could be delayed . The U.S. Federal Reserve (Fed) think about it, in any case lead the Financial Times Monday, November 18 .
The law is named after a former president of the Central Bank, Paul Volcker, and must endorse the separation of proprietary trading (prop trading) other activities of banks, was supposed to come into force in July 2014. But this time may be shifted to July 2015.

The law to endorse separation of proprietary trading (prop trading ) in other bank activities could be shifted by one year to July 2015. | Stephen Amiaga / CC- BY- SA 2.0 .

Indeed, the enactment - separate application - continues to lag behind and is now announced for late 2014. The banks argue the difficulty of distinguishing proprietary trading and market making activities or hedging , they are indispensable, according to intervene in the financial markets .

Thus, the sums lost by JPMorgan in the case of so-called " London Whale " were part of a hedging activity , not proprietary trading , says the bank.