Perhaps it is just me, but I am struggling to understand Alan Greenspan’s revised view of banking regulation. He issued a mea culpa to the House oversight committee, saying that the financial crisis left him a state of “shocked disbelief” that lending institutions had stumbled so badly.

Mr Greenspan, the former chairman of the Federal Reserve, and keen opponent of regulation of the over-the counter credit derivatives market in 2000, partly recanted, saying that the credit default swap market required some form of regulation. That is quite a reversal of his previous position, discussed on this blog before. Read more

My FT column this week is on the re-emergence of alleged rogue traders at banks such as Caisee D’Epargne. At root, this is a crisis of reckless institutions rather than out-of-control individuals: Read more