|MARCY GORDON, AP Business Writer|
"It would be wrong for us not to take this example," Schapiro said.
Most Republican lawmakers voted against the financial overhaul. They say it won't prevent another financial crisis. And the worry that it will drive business overseas.
"So you really didn't know what was going on … until you read the press reports" in April? Shelby asked them.
The trading loss was disclosed
Two more hearings are scheduled before the
Dimon has agreed to testify before the committee later this year.
Dimon has said the loss came from trading in credit derivatives that was designed to hedge against financial risk, not to make a profit for the bank.
Gensler said the CFTC is investigating
Under the financial overhaul, the CFTC gained powers to monitor trading in indexes of derivatives.
Schapiro and Gensler said they were hopeful that a key part of the overhaul could prevent the type of loss that occurred at
The so-called Volcker Rule would prevent banks from trading for their own profit. The idea is to protect depositors' money, which is insured by the government. Regulators are finalizing the rule, which is scheduled to take effect in July. But banks will have until
Dimon has been among the most vocal critics of the rule. The big
Gensler acknowledged that the various federal regulators working on the rule, from a half-dozen agencies, don't agree on how strict it should be.
"We will ultimately have differences," he said.
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