Lawmakers Hammer Out New Wall Street Rules

House and Senate negotiators have completed a sweeping overhaul of banking regulations and aim to send it to President Obama by July 4. Lawmakers finished assembling the bill about dawn. Some highlights:

• It creates a consumer financial protection bureau to police lending (though not auto dealers).
• Establishes the so-called "Volcker rule" to limit banks from taking risks with their own funds, though the measure was softened a bit.

• Blanche Lincoln's rule to make banks spin off their derivatives businesses survived after it too was softened. Only the riskiest of such trades are now affected.
• Payday lenders and check cashers would be regulated, but enforcement would be left to states or the FTC.
• No action was taken to overhaul Fannie Mae and Freddie Mac.

More details at the Wall Street Journal.
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