The past year has been a wild ride for everyone, but it has left bankers, in particular, with many reasons to count their blessings.
Consider, first of all, the recent legislative action on Capitol Hill. After the surprise Republican sweep during last year's elections, bankers began putting together a wish list for policymakers
, which included lower corporate taxes and a higher asset threshold for systemically important financial institutions. Congress has taken already taken steps to address both issues.
Regulatory agencies in Washington are also becoming a more business friendly. In early February, days after the administration took office, the Wall Street Journal asked e
conomic adviser Gary Cohn how the president planned to rein in the Consumer Financial Protection Bureau. “Personnel is policy," Cohn responded.
Important personnel changes have begun to take shape this month. CFPB Director Richard Cordray
last week announced his long-anticipated resignation, setting off a wave of speculation
about his potential successor. Additionally, the Senate confirmed Joseph Otting
to succeed Thomas Curry as Comptroller of the Currency. The president also named Jerome Powell
his choice for chairman of the Federal Reserve, to succeed Janet Yellen.
In addition to public policy matters, business is going well. Big banks such as JPMorgan Chase
and Bank of America
have posted their highest profits since the financial crisis. Community banks, meanwhile, are holding their own in commercial lending, amid a yearlong, industrywide slump.
So, bankers, say a word of thanks for the current business and political environment. As the industry — and the country as a whole — learned last year during the election, things can change quickly.