"Volcker rule" seen freezing M&A by U.S. mega-banks

Reuters reports:

The "Volcker rule" provision of Wall Street reform legislation being finalized by Congress would put a lid on domestic mergers and acquisitions by the largest U.S. banks, analysts said on Thursday.

Further growth through M&A would be blocked for Bank of America, JPMorgan Chase, Citigroup and Wells Fargo, said Barclays Capital analysts.

"A law like this would restrict banks' ability to do M&A," said Blake Howells, director of equity research at Becker Capital Management in Portland, Oregon.

Why not let non-financial firms like Wal-Mart enter banking? That's if you are interested in competition.