Wall Street and the administration of Barack Obama have often had a fraught relationship since the financial crisis, during the negotiation of the 2010 Dodd-Frank legislation and its aftermath.
But for the schism to extend to US negotiating objectives in looming trade negotiations with the EU is unusual. It has put American banks in the strange position of backing Brussels’ approach to the talks rather than Washington’s.
“The US Treasury is resisting any kind of regulatory discussion [and] everyone else is aligned on the other side,” said a US banking executive. “The Europeans consider it to be a priority and they’re unified.”
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