With the stroke of a pen, Dodd-Frank is dead

While not directly repealing the Dodd-Frank Wall Street Reform and Consumer Protection Act, President Trump signed a sweeping directive that gives the Treasury Department the ability to change the act's core provisions to mirror his administration's stance.

The financial industry strongly supported this move, saying regulations enacted since the 2008 financial crisis had become too burdensome, citing costs associated with large expansions in legal/compliance departments.

While the effect on the consumer may be uncertain, the moves President Trump made today are definitely a boon to the Financial industry. As expected, the S&P 500 Financial Sector outperformed today and recouped losses experienced earlier in the week. Tailwinds to the industry have definitely picked up, with the Fed in the process of normalizing interest rates and now the President loosening regulations.

Read about Trump's directive and the effects on the Dodd-Frank act and the Financial industry here