Politico: Wall Street Loses an Ally With Cantor's Defeat

Image: Politico: Wall Street Loses an Ally With Cantor's Defeat

Wednesday, 11 Jun 2014 09:01 AM

By Drew MacKenzie

  Comment  |
   Contact  |
  Print   |
    A   A  
  Copy Shortlink
Wall Street is losing a close ally with the shocking defeat of House Majority Leader Eric Cantor to tea party candidate Dave Brat in a GOP primary race, Politico reported.

The Virginia Republican was seen as getting things done on Capitol Hill when it came to overhauling the mortgage finance market, terrorism insurance, taxing financial institutions, and flood insurance.

Editor’s Note: New Warning - Stocks on Verge of Major Collapse

Lobbyists on K Street with major banks as clients were able to approach Cantor on policy issues, and one industry source told Politico that he was "one of the few remaining House Republicans who understood the complicated and nuanced issues facing the financial services community."

The insider added, "When Dave Camp abandoned the business community with his tax reform draft, Cantor was incensed and promised to stand strong."

He was referring to the House Ways and Means Committee chairman’s proposal earlier this year to offset some of the cost of tax reform by taxing Wall Street banks.

A banking lobbyist told the political news website that Cantor "had a firm grasp of financial services issues and the impact of those issues on the industry and consumers."

Cantor’s association with Wall Street has sometimes resulted in tense confrontations with other House Republicans, notably House Financial Services Chairman Jeb Hensarling.

When Cantor introduced a bill in March to halt flood insurance premium hikes, Hensarling opposed the legislation, saying it went too far in reducing the program enacted in 2012.

Although the bipartisan measure passed the House, the bill angered conservative groups, with Brat attacking it during his campaign as an example of Cantor’s support for "big government."

"We think that more people should be following Jeb Hensarling’s lead on conservative policy," Barney Keller, spokesman for the conservative Club for Growth told Politico at the time. "It’s a shame that Republican leaders try and stifle conservative policy instead of pushing moderates to support conservative policy."

Cantor’s pending exit, ironically, now leaves an opening for Hensarling to assume a leadership role.

"He was positioning himself anyway," one industry source told Politico. "Now with Cantor out he will make a move before the young bucks move."

Hensarling’s potential rise to power, however, could mean changes on how Washington deals with Wall Street because the Texas Republican likes to tout that he is pro-free markets, not pro-business, Politico added.

Editor's Note: This 'System' Found 7 Triple-Digit Winners in a Month

Related Stories:

© 2014 Newsmax. All rights reserved.

  Comment  |
   Contact  |
  Print   |
  Copy Shortlink
Around the Web
Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Country
Zip Code:
Privacy: We never share your email.
 
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
Top Stories
You May Also Like

Top US Diplomat Warns Russia: Don't Put Nukes in Crimea

Wednesday, 17 Dec 2014 21:41 PM

A senior State Department official warned Russia on Wednesday against deploying nuclear weapons in Crimea, and said the  . . .

Palestinians Set Deadline for Israeli Occupation

Wednesday, 17 Dec 2014 20:52 PM

Israel suffered back-to-back diplomatic setbacks in Europe on Wednesday, while the Palestinians at the United Nations se . . .

Raul Castro to Obama: Use Executive Action to Lift Sanctions

Wednesday, 17 Dec 2014 20:18 PM

Cuban President Raul Castro on Wednesday praised President Barack Obama's moves to restore relations with the communist  . . .

Most Commented

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved