The Market On Thursday

Today Obama will be proposing a series of regulations on hedge funds and the derivatives markets. The regulations will allow for deep inspections of these financial firms and place restrictions on how much debt they can assume. The eye of the recession passes through these financial institutions.

As an innocent observer, one might suspect that these measures will not go over well. These institutions have had free reign under the previous administration. This is part of the deregulation trend, a Republican mantra.

Here we see part of the crux of the Republican Party's dilemma. They still push for deregulation in a time when it has almost collapsed the world economy.

Reuters: Futures point to higher open for Wall Street

At 10 a.m. EDT, U.S. Treasury Secretary Timothy Geithner is set to outline proposals for new, tougher requirements on major financial firms to protect the financial system and new rules to prevent financial fraud and abuse against consumers and investors.