FRB looking to get stronger....
OH...and if you wonder what exactly they do here is a start point:
US plans finance system overhaul
The US Treasury is set to reveal its blueprint for the biggest overhaul of regulation of the financial sector since the 1930s.
Critics have said that the credit crunch and resultant market turmoil made a strong case for change.
But Treasury Secretary Henry Paulson is expected to reject claims that existing regulations have led to the turmoil.
The government says the proposals are an effort help US firms become more competitive in the global economy.
"Despite the fact that there will be a temptation to view this through a lens of what is happening now in credit markets, this has been a process that has been going on for a year," said Treasury Assistant Secretary David Nason.
"These are very complex issues that require a serious amount of debate."
The plans are expected to propose giving sweeping powers to the Federal Reserve - enabling it to tackle the kind of turmoil that is currently hitting financial markets.
Under the proposals, the Fed would become "market stability regulator" - allowing it to examine the books of any financial institution deemed to potentially threaten the stability of the financial system.
It is also expected that the overhaul will see a new organisation set up to take over the role of the five separate banking regulators.
A body to regulate business conduct and consumer protection
is also likely to be proposed.
Among other measures expected is the creation of a commission to establish stricter criteria for firms involved in the mortgage market.
The review into the sector began early in 2007 after the financial services industry complained that over-regulation from Washington meant US firms were not as globally competitive as they could be.
Before travelling to Europe, President George W Bush said that he wanted congress to pass several pieces of legislation which he saw as "vital priorities".
These included housing law which would enable more homeowners who were battling to meet mortgage payments to refinance their loans.
Story from BBC NEWS: