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Volcker to defend Fed powers

Former Federal Reserve chairman Paul Volcker will tell a congressional hearing today the central bank should not be stripped of its powers to supervise banks. According to Bloomberg News, Volcker will argue: “Monetary policy and concerns about the structure and condition of banks and the financial system more generally are inextricably intertwined.” Volcker joins current chairman Ben Bernanke in lobbying against draft legislation which would see the Fed reduced to supervising 35 big banks.