Next shoe to drop

This weekend's news regarding Goldman Sachs' and Morgan Stanley's applications to become mainstream banks, and to join the group of entities directly regulated by the FED, will certainly question the Securities Exchange Commission's role which until now was the main regulatory body in the investment banking world.

In fact, given that there are no more investment banks to regulate, perhaps it's time for the SEC to go as well. The current crisis has shown that the FED is the ultimate regulator. And that the SEC will now become redundant.