Throughout the past year, Republicans in Congress and top Wall Street banks have been working together in a symbiotic relationship in which the GOP works to water-down financial regulatory reform in exchange for campaign cash. The Wall Street Journal reports that the pact seems to be paying off, at least for the GOP:
For the first time since 2004, the biggest Wall Street firms are now giving most of their campaign donations to Republicans.
A Wall Street Journal analysis of 12 large financial services companies, including J.P. Morgan Chase & Co., Goldman Sachs Group Inc. shows that they have collectively made $1.4 million in political donations, with 52% going to Republicans so far this year. That’s a reversal from last year, according to the most recent round of fund-raising reports covering January, February and March. [...]
The change of allegiance comes as Congress closes in on legislation that would overhaul financial services regulations. Democrats back an aggressive bill that has been so far blocked in the Senate by Republicans.
Since 1989, Goldman has never given more to the GOP than it has to Democrats, but this year, the company has given 52 percent of its PAC money to Republicans. Moreover, Wall Street firms “have also begun writing large checks to the Republican Party, while stiffing the Democratic Party,” the Journal writes, noting that “Goldman, KPMG, and FMR Corp. (the owner of Fidelity Investments) each gave $15,000 to the Republican Party in March.”