Updated with reform bill impact on financial stocks.
WASHINGTON D.C. (
) --The Dodd-Frank financial regulatory reform bill passed its cloture vote 60 to 38 on Thursday morning. The procedural vote puts an end to debate about the bill. and sets the stage for passage of the bill later today.
The final Senate vote is set to take place on Thursday afternoon at 2 p.m., after which President Obama can sign the bill into law.
The passage of the financial reform bill, a major crackdown on unfair trade practices and risky derivative trading, would be another victory for the Obama administration on the heels of the passage of health reform.
The fate of the bill had been plagued with uncertainty following the death of Senator Robert Byrd and strong opposition from Republican Senator Scott Brown on the imposition of a "bank tax," which was later scrapped.
The bill is expected to adversely impact large banks with exposure to capital markets such as
Bank of America
Traditional money managers such as
T. Rowe Price
Principal Financial Group
have emerged relatively
unscathed from the bill.
Financial stocks were trading lower on Thursday, despite stellar results from JPMorgan Chase.
-- Reported by Shanthi Venkataraman in New York.
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