Obama proposes financial system overhaul to prevent future collapse

WASHINGTON: Aiming for greater limits and more clarity in the U.S. financial system, the Obama administration on Monday proposed adding muscle to the Federal Reserve and new restrictions on complex securities whose collapse choked lending and hit millions of American households.

At the same time, the administration gingerly sidestepped some regulatory changes, leaving aspects of the politically charged work for Congress, which must approve the proposed blueprint.