Is the Fed Cozying Up to Wall Street?

The transcript discusses the review of big banks' supervision, highlighting the pressure on the New York Fed due to recent media coverage and Senate hearings. It explores the challenges of regulating complex financial institutions and the issues of regulatory capture. The discussion includes incidents like the JP Morgan London Whale trading losses and Goldman Sachs' access to internal documents, suggesting systemic problems rather than isolated incidents. The transcript concludes with an analysis of the weaknesses in bank examinations, particularly in dealing with Goldman Sachs.

What does the statement about reviewing supervision of the big banks imply about the current state of oversight?

How does the media coverage influence the perception of the New York Fed's supervision of banks?

What are the challenges faced by regulators in supervising large and complex financial institutions?

Discuss the implications of regulatory capture as mentioned in the context of the New York Fed.

What were the key findings from the tapes regarding the examiners' interactions with Goldman Sachs?