Boston Globe's Michael Rezendes on Big Banks donating to Romney

All right -- the market has been open for over an hour how are we doing this morning. Can pretty good very I have to say -- the Dow is up 77 NASDAQ up seventeen S&P 500 up 910 year US treasury. Slightly of one point 807 gold is down 950 oil trading. Down 99 cents. Crude inventories rose that would just came in two point 130 that's good -- means prices are gonna come down idea and now I'm reading shareholders. Are suing JPMorgan Chase over that trading loss. Good that'll that'll ship them up a little bit and accidentally got. They our next guest is Michael resounding seasoned reporter over at the Boston Globe Michael welcome to the show are you don't. Am doing pretty well much to be here. They -- read your article about donors really they're flocking away from Barack Obama and heading over to the Romney camp. In your speaking specifically of the financial sector correct that's correct yeah what's the what's the logic. Well the logic is that Barack Obama who was kind of rectangular also last primary and afterwards a clean slate it could -- whatever they wanted. In in this now someone who's firmly in support of a whole host of new regulations on the banking industry and the banks and we don't like that the banks wanna continue to operate unfettered as they did the before the collapse in 2008. So there's a real difference of opinion. And it's all about the Dodd-Frank bill. The banks are also upset some of the rhetoric that they believe Obama and other Democrats are using to blame them for the 2008 -- collapsed. The rhetoric I think if you look back over the course in history of the things happen this is pretty tame but in the in any event to that they don't like being cast as the balance. -- date but they had a hand in the in the in the game I mean they were written if they're the ones make in the loans -- thing. Oh yeah I mean they had Pakistan and -- -- -- word directly responsible because they executed. The highly risky trades based on derivatives that the inflated housing market that directly cause the collapse. The collapse in 2008 was not a cyclical recession this was this was man made and specifically. -- made you know. It has the JPMorgan Chase is that taken the wind out of the sails of the banks at all. I think it has to yeah I mean -- it just seems to be a terrific argument for why some of the regulations in frank have to be approved I mean. JPMorgan Chase as I'm sure other listeners know was so one of the most well managed Wall Street banks. And that now the argument can be made that even the best managed bank can make such a ill advised trade that is so profoundly costly it's it's -- -- recent to have more regulation. You know as funny -- read your article and then in the same Paper -- in today's globe there's an article about how Barack Obama has about a million bucks. Park and JPMorgan Chase Bank did you see that. Yeah I did I did I I. I'm not shocked me it's a very you know to very well managed back at the bank -- would people who there's a lot of -- lot of reason for people to investors are. So like when you say that they're they're leaving Obama don't the banks usually donate to both parties so they can eat you have spread your bribes and senior European nations. Definitely I think the to proper term here would be hedge your bets right. But yes they normally do but now the the numbers show that there there only hedging their -- very very slightly they're they're not even bothering to play both sides against the middle mean they're really just going all out for Romney except for a and campaign contributions to Democratic National Committee. They really are just putting all their chips on Romney. I've got to believe that Romney's got to be careful though because politically he can't be you know he he doesn't wanna be seen as too closely aligned with the banks because right now they're very unpopular. Yeah I think it's it's a balance delicate balancing act for Romney I think he's grateful for the support of the banking industry were talking about quite. Quite a lot of money. But on the other hand that you say he has wanna be tried to to the 2008 fiscal collapse in the way it -- campaign. What specifically has he identified what he would do differently from the president as a relates to regulating the banking industry -- week we know it is in the Dodd-Frank bill and if you know what's gonna go -- place it starts in 1415. And just get -- worked you know harder and harder on the banks guy at that point he did it does rock has Romney put a plan out there are saying okay this is -- this is my alternative to -- two Dodd-Frank looks. Iran has said all along that he's in favor of some regulation and he believed specifically that retreat into riveted -- to be more transparent. And more more highly regulated than it was before to resonate and he -- he's Serb. Floated some ideas but I think he spend a lot less specific than what's in the NBA dot are built to date. And what is the polling show on this on this issue Dino -- in terms of like it if you're a law if if you're if you're not voting for a party if you're an independent voter. Where does the word the general is that is gonna decide the next election in general will do if they decide every election sure with what's -- where does the -- and rolled stand on this issue more banking regulation less banking regulation. I don't know like that I haven't seen any polling on it but I have to say that you know I don't know the degree to which a fairly sophisticated debate over complicated regulations over complicated. Wall Street trading filters down to the average voter and I think the average voters concerned about whether they're more jobs -- fewer jobs or whether mortgage rates are up for now I'm I'm not sure of the extent to which this this kind it's really pretty sophisticated debate is gonna translate to the average voter. Going to be exciting to watch nice job on the article Mike thank you thank you are right. As Michael -- joining us from the Boston Globe today.