All articles tagged with #regulatory burden
The EPA has proposed ending the Greenhouse Gas Reporting Program to save up to $2.4 billion in costs, arguing it is bureaucratic red tape that does not improve health or environment, and will focus on more targeted data collection under new laws. The proposal aims to remove reporting requirements for most large facilities and suppliers, with public comments invited.
Wells Fargo announced that the U.S. Office of the Comptroller of the Currency has lifted a 2016 punishment related to the bank's sales practices, marking progress in its efforts to address compliance issues stemming from a fake accounts scandal. This is the sixth consent order terminated by regulators since 2019, signaling a positive step for the bank. However, Wells Fargo still operates under an asset cap imposed by the Federal Reserve and has eight remaining open consent orders. The removal of the asset cap would represent a significant turning point for the bank, and CEO Charlie Scharf expressed confidence in the company's trajectory.
Elon Musk criticized the state of US financial markets, expressing his discontent with the high regulatory burden faced by publicly traded companies, the pressure from shareholders that limits efficiency, and the negative impact of passive investing on stock prices. Musk also discussed the benefits of keeping SpaceX private and his recommendation for companies to avoid going public unless necessary. He argued that the percentage of the market that is passive has gone too far, as it relies on the decisions of a few active major stock pickers, causing massive movements in stock prices.
U.S. Bancorp's stock surged after the Federal Reserve released the bank from its commitment to meet requirements for larger banks by the end of next year. The regional lender will no longer have to satisfy requirements for Category II financial institutions, which would have brought stricter liquidity requirements and a more complex methodology for determining its capital requirements. U.S. Bancorp's shares rose 5.1% following the news.