Financial Industry | featured news

The plan would give the government new powers to seize key companies whose failure jeopardizes the financial system, as well as creation of a watchdog agency to look out for consumers' interests.

The Obama administration this week will propose the most significant new regulation of the financial industry since the Great Depression, including a new watchdog agency to look out for consumers' interests.

Finance chiefs from the G7 powers said on Friday the global economy may be pulling out of the depths of a recession although recovery was not yet assured, and they pledged to make certain big financial firms are sound.

The $2.1 billion profit in the first quarter could give investors hope that the banking stocks have reached a bottom.

Most respondents point to financial industry as culprit, but doubts are rising about some of the administration's recovery plans.