Dallas Fed's Fisher: Banks Are 'Too Bigger To Fail'

Richard Fisher

At least one Fed governor is now on record as supporting breaking up the banks.

According to Reuters, Richard Fisher, chairman of the Dallas Federal Reserve, told an audience in Mexico that the power of the five biggest banks has grown too concentrated.

They “should be broken up,” Reuters quotes him as saying.

The Dodd-Frank financial reform legislation was designed to address too-big-to-fail institutions, but in the meantime, the banks had become “too ‘bigger’ to fail than before,” Fisher reportedly said.

Fisher also said U.S. consumption was improving, and endorsed the Fed’s decision to set a 2% inflation target.

Fisher is not currently a voting member of the Federal Open Market Committee

[h/t HousingWire]

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at research.businessinsider.com.au.