Dallas Fed president Richard Fisher yesterday told an audience at the University of Southern California in Los Angeles he is sceptical that macro-prudential supervision can "safeguard us from financial stability" – comparing steps taken since the financial crisis to the Maginot Line defence built by France after the First World War, which failed to deter a German invasion two decades later.

He said "hyper-accommodative monetary policy" is the root cause of an "everything boom", endorsing the