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US Treasury Secretary Promises Aggressive Regulatory Reform



By Meena Thiruvengadam, Of DOW JONES NEWSWIRES

WASHINGTON -(Dow Jones)- U.S. Treasury Secretary Timothy Geithner on Friday vowed to take an aggressive approach to reforming regulations governing the financial sector, saying the Obama administration feels that is what the economy needs.

"We had a financial system that did a terrible job of protecting consumers, of building a strong, stable financial system less prone to crisis," he said in a Friday interview with "The NewsHour With Jim Lehrer." "We are going to have to fix that, and I feel a deep personal obligation to make sure I'm doing everything I can to help this president bring that about."

Geithner urged the American public to judge the administration by its actions and promised "sweeping reforms" for the nation's financial system. Those reforms likely will include efforts to alter Wall Street pay structures, he said.

Geithner struck a somewhat optimistic tone in the interview, urging viewers to "to focus on the things that are getting better."

Payroll data released earlier Friday showed that the pace of U.S. job losses appears to be slowing. While job losses still are high, some view the slowdown as an encouraging sign.

Friday's report on nonfarm payrolls showed the shedding of 539,000 jobs in April and revealed that the U.S. unemployment rate has risen to 8.9% - the highest level in more than 25 years.

"These are terrible numbers at one level, but it is important that the pace of job loss is slowing a bit," Geithner said in the interview. "That's an important beginning."

Still, he warned the economy is "not going to feel very good for the average American for some time."

-By Meena Thiruvengadam, Dow Jones Newswires; 202-862-6629; meena.thiruvengadam@dowjones.com


  (END) Dow Jones Newswires
  05-08-091912ET
  Copyright (c) 2009 Dow Jones & Company, Inc.

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