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Wall Street Is Taking On More Risk Again

  • Recent deals show banks taking lax view on lending guidelines
  • Trump administration indicated plans to dial back regulations
Pedestrians walk along Wall Street near the New York Stock Exchange (NYSE) in New York, U.S., on Monday, Aug. 14, 2017. U.S. stock-index futures advanced and volatility subsided as an escalation of tensions between the U.S. and North Korea showed signs of easing after American officials talked down the possibility of an imminent nuclear war.
Photographer: Michael Nagle/Bloomberg

Three words have finally set Wall Street deal-makers loose: President Donald Trump.

Officially, the Trump administration has yet to rewrite Obama-era rules restricting how much debt banks can pile onto companies in buyouts. But a spate of recent transactions shows financiers are letting go of their concerns about the lending guidelines that had tied their hands in recent years.