Yellen seeks guidance from Paulson amidst banking crisis
Treasury Secretary Janet Yellen sought advice from her predecessor, Henry Paulson, on how best to deal with the banking crisis, according to a report. Yellen was also holding emergency consultations with lawmakers, banking regulators, and Wall Street CEOs on how to stabilize the banking system. Paulson told Yellen that it was hard to stop or slow down a bank run and that it required a powerful and quick government response. Yellen's detractors said that her administration is bailing out banks and essentially rewarding them for making risky investments. Regional bank stocks were trading higher on Monday as investor confidence that the crisis could be contained grew.