Watt nomination stalls as Senate blocks vote- Nominee Admits He Doesn't Understand Derivatives

McClatchy reports:

“While Mel Watt is certainly a good man, I think it is the wrong job for Mel Watt,” said Sen. Pat Toomey, R-Pa.

Citing complex financial instruments called derivatives, used by Fannie and Freddie to hedge against risks, Toomey read back a quote from Watt saying he didn’t understand how derivatives worked and and Toomey noted “derivatives are central to the management of this institution.” The job of a regulator requires a skilled bureaucrat, not a politician, he suggested.

Democrats accused their Republican counterparts of simply stalling. Watt’s home-state senator, Democrat Kay Hagan, pointed to his record of “bipartisan skills” and support from groups such as the National Realtors Associations, the National Association of Homebuilders and the Mortgage Bankers Association.

Another hack, who doesn't understand the first thing about financial markets.