…you should listen.

Paul Volcker is testifying before the Senate Banking Committee on the President's announcement a few weeks ago on the "Volcker Rule."

In short, the Volcker rule would prohibit commercial banks from engaging in proprietary trading, or operating hedge funds or private equity funds. The administration also embraced support for resolution authority to break up firms that are determined to be too big to fail.

Today's hearing is the first opportunity for any details to emerge regarding the Volcker rule. While many have withheld judgment of the Volcker Rule, the continued uncertainty because of a lack of details has sent the financial services stocks in a tizzy as of late. A few things to think about in watching Volcker's testimony:

1. How will these proposals boost lending to small businesses to spark economic expansion and job creation?
2. Will the Volcker Rule create missed opportunities for the financial sector and American economy?
3. Will the Volcker Rule assist stabilization, but a permanent bail out authority reinforce moral hazard?
4. Are their legitimate options to achieve Paul Volcker's goals?

Today, the Financial Times ran a story describing the continued shut down of lending for small businesses. This morning's hearing will continue the debate about regulatory reform, hopefully small business expansion and job creation will enter the discussion.

The devil is in the details, and today we are getting some of those details. Hopefully, some angels will emerge and we can keep the devil out of the equation.