US STOCKS REACT TO TRUMP'S 10%

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Cedric77
01-13 00:19

US STOCKS REACT TO TRUMP'S 10% CREDIT CARD RATE CAP:

1. Capital One: -7%

2. Affirm: -5%

3. American Express: -4%

4. Citigroup: -3%

5. MasterCard: -3%

6. Visa: -3%

7. US Bancorp: -3%

8. JP Morgan: -2%

9. Wells Fargo: -2%

10. Bank of America: -1%

These stocks have now erased -$100 BILLION of market cap on the news.

Consumer affordability is the midterm election trade.

Credit-Card Stocks Are Sliding, But Trump's Plan For A 10% Rate Cap Isn't A Done Deal

If successful in enacting a one-year cap on credit-card interest rates, President Donald Trump could dramatically alter financial-sector earnings and business models. But investors shouldn't panic...

Credit-Card Stocks Are Sliding, But Trump's Plan For A 10% Rate Cap Isn't A Done Deal

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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Capital One: -7%\n2. Affirm: -5%\n3. American Express: -4%\n4. Citigroup: -3%\n5. MasterCard: -3%\n6. Visa: -3%\n7. US Bancorp: -3%\n8. JP Morgan: -2%\n9. Wells Fargo: -2%\n10. Bank of America: -1%\nThese stocks have now erased -$100 BILLION of market cap on the news.\nConsumer affordability is the midterm election trade.</body></html>","htmlText":"<html><head></head><body>US STOCKS REACT TO TRUMP'S 10% CREDIT CARD RATE CAP:\n1. Capital One: -7%\n2. Affirm: -5%\n3. American Express: -4%\n4. Citigroup: -3%\n5. MasterCard: -3%\n6. Visa: -3%\n7. US Bancorp: -3%\n8. JP Morgan: -2%\n9. Wells Fargo: -2%\n10. Bank of America: -1%\nThese stocks have now erased -$100 BILLION of market cap on the news.\nConsumer affordability is the midterm election trade.</body></html>","text":"US STOCKS REACT TO TRUMP'S 10% CREDIT CARD RATE CAP: 1. Capital One: -7% 2. Affirm: -5% 3. American Express: -4% 4. Citigroup: -3% 5. MasterCard: -3% 6. Visa: -3% 7. US Bancorp: -3% 8. JP Morgan: -2% 9. Wells Fargo: -2% 10. Bank of America: -1% These stocks have now erased -$100 BILLION of market cap on the news. Consumer affordability is the midterm election trade.","highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"favoriteSize":0,"link":"https://ttm.financial/post/521036566856024","repostId":2602496335,"repostType":2,"repost":{"id":"2602496335","kind":"highlight","weMediaInfo":{"introduction":"Dow Jones publishes the world’s most trusted business news and financial information in a variety of media.","home_visible":0,"media_name":"Dow Jones","id":"106","head_image":"https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99"},"pubTimestamp":1768230894,"share":"https://ttm.financial/m/news/2602496335?lang=en_US&edition=fundamental","pubTime":"2026-01-12 23:14","market":"us","language":"en","title":"Credit-Card Stocks Are Sliding, But Trump's Plan For A 10% Rate Cap Isn't A Done Deal","url":"https://stock-news.laohu8.com/highlight/detail?id=2602496335","media":"Dow Jones","summary":"If successful in enacting a one-year cap on credit-card interest rates, President Donald Trump could dramatically alter financial-sector earnings and business models. But investors shouldn't panic...","content":"<html><head></head><body>If successful in enacting a one-year cap on credit-card interest rates, President Donald Trump could dramatically alter financial-sector earnings and business models. But investors shouldn&#39;t panic just yet, as one analyst sees his proposal as &#34;highly unlikely&#34; to come to fruition.The president put out a surprise social-media post on Friday, saying he planned to follow through with a campaign promise for a 10% cap on credit-card annual percentage rates, starting Jan. 20.Jefferies analyst John Hecht, however, wrote Saturday that Trump doesn&#39;t have executive authority to make such a move on his own. And if he brings the issue to Congress, it would presumably be &#34;dead on arrival,&#34; he said, given the likely spillover effects of a rate cap and a lack of support for similar initiatives in the past.&#34;The legislative risk remains relatively low, but clearly higher now that the president has called for this action,&#34; Raymond James policy analyst Ed Mills added in a Sunday note to clients. He noted that caps &#34;are generally state-specific laws.&#34;Hecht, echoing what banking-industry groups have said recently, warned that a 10% rate cap wouldn&#39;t mean that credit-card companies simply lend as usual but with lower rates. Rather, they would be expected to tighten lending standards, shutting out borrowers with lower credit scores. And as a result, that could drive &#34;weaker retail sales and consumption across the entire economy, hurting GDP,&#34; Hecht noted.Still, he thought through how Trump&#39;s proposal would ripple across the financial-services sector in the event it did get implemented, and crunched the numbers for American Express <a href=\"https://laohu8.com/S/AXP\">$(AXP)$</a>, Atlanticus Holdings <a href=\"https://laohu8.com/S/ATLC\">$(ATLC)$</a>, Bread Financial Holdings <a href=\"https://laohu8.com/S/BFH\">$(BFH)$</a>, Capital One Financial <a href=\"https://laohu8.com/S/COF\">$(COF)$</a>, <a href=\"https://laohu8.com/S/SYF\">Synchrony Financial</a> (SYF). (<a href=\"https://laohu8.com/S/V\">Visa</a> (V) and Mastercard <a href=\"https://laohu8.com/S/MA\">$(MA)$</a> operate credit-card networks but don&#39;t actually lend to consumers.)Bread&#39;s stock was down 12%; $Synchrony Financial(SYF-B)$ shares were off 8%; Capital One shares were off 7%; American Express shares were off 5%; Citi down 3%; Visa and Mastercard shares were both down more than 2%.<img src=\"https://community-static.tradeup.com/news/7a90ceb084c27fdbf38f8e2432daaf60\" tg-width=\"323\" tg-height=\"654\"/>American Express has a more premium customer base, but &#34;at face value,&#34; a 10% cap could still reduce its net interest margin to an estimated 5.7% from 9.2%, according to Hecht&#39;s calculations on the metric - a measure of banking-industry profitability. The impact would be far more dramatic for other companies with more subprime exposure, as the chart below shows.Doing the math is somewhat difficult, he conceded, since credit-card companies likely wouldn&#39;t sit still and would probably put in place new fees to help make up for lost revenue and earnings.Truist Securities analyst Brian Foran put the situation more bluntly, calling the proposal &#34;not great&#34; for the card companies even though its severe potential consequences could stop it from becoming a reality.In Foran&#39;s view, &#34;even if 10% doesn&#39;t happen, it opens the debate about whether some amount of pricing cuts are on the table.&#34;He seemed to take a more severe view of the financial consequences, writing that the credit-card business could become downright unprofitable if these changes were to get enacted.Synchrony and Bread, which put out store cards, have the most to lose, &#34;because they are relative pure plays on cards, and because they have higher yields on their loans,&#34; he wrote in a note to clients. &#34;Full-spectrum lenders like [Capital One] would be next,&#34; with Amex presumably &#34;a little more insulated by its spend-heavy business mix.&#34;TD Cowen&#39;s Jaret Seiberg agreed Trump doesn&#39;t have unilateral authority, and also noted Congressional reticence, but said the move may put political pressure on the issuers. He suggested they might bring an existing 36% cap on interest rates for the military to all consumers.Meanwhile, &#34;alternative&#34; financial-services companies might benefit from Trump&#39;s proposal, were it to actually take effect, according to the Raymond James policy team. They called out buy-now-pay-later operators, namely <a href=\"https://laohu8.com/S/XYZ\">Block</a> (XYZ). <a href=\"https://laohu8.com/S/AFRM\">Affirm</a> Holdings (AFRM) also operates a BNPL business and is a pure play on installment payments.Investors could find out more about what to expect when financial companies hold their earnings calls in the coming days and weeks.&#34;Against the doom and gloom, it is worth nothing that over time the credit card industry has shown a remarkable ability to adapt the offer to regulatory changes,&#34; Foran noted.</body></html>","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Credit-Card Stocks Are Sliding, But Trump's Plan For A 10% Rate Cap Isn't A Done Deal</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nCredit-Card Stocks Are Sliding, But Trump's Plan For A 10% Rate Cap Isn't A Done Deal\n</h2>\n\n<h4 class=\"meta\">\n\n\n<div class=\"head\" \">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99);background-size:cover;\"></div>\n\n<div class=\"h-content\">\nDow Jones \n2026-01-12 23:14\n</div>\n\n</div>\n\n\n</h4>\n\n</header>\n<article>\n<html><head></head><body>If successful in enacting a one-year cap on credit-card interest rates, President Donald Trump could dramatically alter financial-sector earnings and business models. But investors shouldn&#39;t panic just yet, as one analyst sees his proposal as &#34;highly unlikely&#34; to come to fruition.The president put out a surprise social-media post on Friday, saying he planned to follow through with a campaign promise for a 10% cap on credit-card annual percentage rates, starting Jan. 20.Jefferies analyst John Hecht, however, wrote Saturday that Trump doesn&#39;t have executive authority to make such a move on his own. And if he brings the issue to Congress, it would presumably be &#34;dead on arrival,&#34; he said, given the likely spillover effects of a rate cap and a lack of support for similar initiatives in the past.&#34;The legislative risk remains relatively low, but clearly higher now that the president has called for this action,&#34; Raymond James policy analyst Ed Mills added in a Sunday note to clients. He noted that caps &#34;are generally state-specific laws.&#34;Hecht, echoing what banking-industry groups have said recently, warned that a 10% rate cap wouldn&#39;t mean that credit-card companies simply lend as usual but with lower rates. Rather, they would be expected to tighten lending standards, shutting out borrowers with lower credit scores. And as a result, that could drive &#34;weaker retail sales and consumption across the entire economy, hurting GDP,&#34; Hecht noted.Still, he thought through how Trump&#39;s proposal would ripple across the financial-services sector in the event it did get implemented, and crunched the numbers for American Express <a href=\"https://laohu8.com/S/AXP\">$(AXP)$</a>, Atlanticus Holdings <a href=\"https://laohu8.com/S/ATLC\">$(ATLC)$</a>, Bread Financial Holdings <a href=\"https://laohu8.com/S/BFH\">$(BFH)$</a>, Capital One Financial <a href=\"https://laohu8.com/S/COF\">$(COF)$</a>, <a href=\"https://laohu8.com/S/SYF\">Synchrony Financial</a> (SYF). (<a href=\"https://laohu8.com/S/V\">Visa</a> (V) and Mastercard <a href=\"https://laohu8.com/S/MA\">$(MA)$</a> operate credit-card networks but don&#39;t actually lend to consumers.)Bread&#39;s stock was down 12%; $Synchrony Financial(SYF-B)$ shares were off 8%; Capital One shares were off 7%; American Express shares were off 5%; Citi down 3%; Visa and Mastercard shares were both down more than 2%.<img src=\"https://community-static.tradeup.com/news/7a90ceb084c27fdbf38f8e2432daaf60\" tg-width=\"323\" tg-height=\"654\"/>American Express has a more premium customer base, but &#34;at face value,&#34; a 10% cap could still reduce its net interest margin to an estimated 5.7% from 9.2%, according to Hecht&#39;s calculations on the metric - a measure of banking-industry profitability. The impact would be far more dramatic for other companies with more subprime exposure, as the chart below shows.Doing the math is somewhat difficult, he conceded, since credit-card companies likely wouldn&#39;t sit still and would probably put in place new fees to help make up for lost revenue and earnings.Truist Securities analyst Brian Foran put the situation more bluntly, calling the proposal &#34;not great&#34; for the card companies even though its severe potential consequences could stop it from becoming a reality.In Foran&#39;s view, &#34;even if 10% doesn&#39;t happen, it opens the debate about whether some amount of pricing cuts are on the table.&#34;He seemed to take a more severe view of the financial consequences, writing that the credit-card business could become downright unprofitable if these changes were to get enacted.Synchrony and Bread, which put out store cards, have the most to lose, &#34;because they are relative pure plays on cards, and because they have higher yields on their loans,&#34; he wrote in a note to clients. &#34;Full-spectrum lenders like [Capital One] would be next,&#34; with Amex presumably &#34;a little more insulated by its spend-heavy business mix.&#34;TD Cowen&#39;s Jaret Seiberg agreed Trump doesn&#39;t have unilateral authority, and also noted Congressional reticence, but said the move may put political pressure on the issuers. He suggested they might bring an existing 36% cap on interest rates for the military to all consumers.Meanwhile, &#34;alternative&#34; financial-services companies might benefit from Trump&#39;s proposal, were it to actually take effect, according to the Raymond James policy team. They called out buy-now-pay-later operators, namely <a href=\"https://laohu8.com/S/XYZ\">Block</a> (XYZ). <a href=\"https://laohu8.com/S/AFRM\">Affirm</a> Holdings (AFRM) also operates a BNPL business and is a pure play on installment payments.Investors could find out more about what to expect when financial companies hold their earnings calls in the coming days and weeks.&#34;Against the doom and gloom, it is worth nothing that over time the credit card industry has shown a remarkable ability to adapt the offer to regulatory changes,&#34; Foran noted.</body></html>\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"IE00B1BXHZ80.USD":"Legg Mason ClearBridge - US Appreciation A Acc USD","IE00BQXX3F31.USD":"GUINNESS GLOBAL INNOVATORS \"C\" (USD) ACC","IE00B4JS1V06.HKD":"JANUS HENDERSON BALANCED \"A2\" (HKD) ACC","LU0957791311.USD":"THREADNEEDLE (LUX) GLOBAL FOCUS \"ZU\" (USD) ACC","LU2764262908.HKD":"BGF GLOBAL UNCONSTRAINED EQUITY \"A2\" (HKD) ACC","LU0957808578.USD":"THREADNEEDLE (LUX) GLOBAL TECHNOLOGY \"ZU\" (USD) ACC","LU1623119135.USD":"Natixis Mirova Global Sustainable Equity R-NPF/A USD","LU0048584097.USD":"FIDELITY FUNDS GLOBAL THEMATIC OPPORTUNITIES \"A\" (USD) INC","LU0211327993.USD":"TEMPLETON GLOBAL EQUITY INCOME \"A\" (USD) ACC","LU0354030438.USD":"富国美国大盘成长基金Cl A Acc","V":"Visa","LU1629891620.HKD":"ALLIANZ INCOME AND GROWTH \"AMG2\" (H2-HKD) INC","MA":"万事达","LU0158827948.USD":"ALLIANZ GLOBAL SUSTAINABILITY \"A\" (USD) INC","LU1670627923.USD":"M&G (LUX) NORTH AMERICAN DIVIDEND \"A\" (USD) ACC","LU2361044865.SGD":"WELLINGTON US QUALITY GROWTH \"A\" (SGDHDG) ACC","BAC":"美国银行","LU0476273544.USD":"CT (LUX) I GLOBAL TECHNOLOGY \"BU\" (USD) ACC","LU2456880835.USD":"ALLIANZ GLOBAL INCOME \"AT\" (USD) ACC","IE00BZ1G4Q59.USD":"LEGG MASON CLEARBRIDGE US EQUITY SUSTAINABILITY LEADER \"A\"(USD) INC (A)","LU2506952170.USD":"BNP PARIBAS SUSTAINABLE GLOBAL LOW VOL EQUITY \"CRH\" (USDHDG) INC","IE0005OL40V9.USD":"JANUS HENDERSON BALANCED \"A6M\" (USD) INC","C":"花旗","COF":"第一资本","BFH":"Bread Financial Holdings, Inc.","USB":"美国合众银行","IE00B19Z8X17.USD":"FTGF CLEARBRIDGE US LARGE CAP GROWTH \"AG\" (USD) ACC","LU0994945656.USD":"NINETY ONE GSF GLOBAL FRANCHISE \"A\" (USD) INC 2","WFC":"富国银行","LU1935042991.SGD":"MANULIFE GF GLOBAL MULTI-ASSET DIVERSIFIED INCOME \"AA\" (SGDHDG) INC","IE00B19Z8W00.USD":"FTGF CLEARBRIDGE US LARGE CAP GROWTH \"A\" INC","LU1035775433.USD":"AB SICAV I - AMERICAN GROWTH PORTFOLIO \"AD\" (USD) INC","AXP":"美国运通","LU0708995401.HKD":"FRANKLIN U.S. OPPORTUNITIES \"A\" (HKD) ACC","DB":"德意志银行","LU0342679015.USD":"ALLIANZ GLOBAL EQUITY UNCONSTRAINED \"AT\" (USD) ACC","BK":"纽约梅隆银行","LU2023251221.USD":"ALLIANZ GLOBAL SUSTAINABILITY \"AM\" (USD) INC","LU0353189680.USD":"富国美国全盘成长基金Cl A Acc","LU0265550946.USD":"BGF SYSTEMATIC GLOBAL ENHANCED EQUITY YIELD \"A5\" (USD) INC","LU2089283258.USD":"安联环球可持续基金Cl AM Dis","LU0158827781.USD":" ALLIANZ GLOBAL SUSTAINABILITY \"AT\" (USD) ACC","SYF":"Synchrony Financial","XYZ":"Block, Inc.","LU0198837287.USD":"UBS (LUX) EQUITY SICAV - USA GROWTH \"P\" (USD) ACC","IE00B19Z3B42.SGD":"Legg Mason ClearBridge - Value A Acc SGD","JPM":"摩根大通","MS":"摩根士丹利","LU0689472784.USD":"安联收益及增长基金Cl AM AT Acc","BK4585":"ETF&股票定投概念","LU1551013425.SGD":"Allianz Income and Growth Cl AMg2 DIS H2-SGD","SG9999000418.SGD":"Aberdeen Standard Global Technology SGD","LU1037948541.HKD":"AB LOW VOLATILITY EQUITY PORTFOLIO \"A\" (HKD) ACC","LU0130103400.USD":"Natixis Harris Associates Global Equity RA USD","LU0210528500.USD":"JPM AMERICA EQUITY \"A\" ACC","GS":"高盛","LU0868494708.USD":"UBS (LUX) EQUITY SICAV - US TOTAL YIELD SUSTAINABLE \"P\" (USD) INC"},"source_url":"https://dowjonesnews.com/newdjn/logon.aspx?AL=N","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2602496335","content_text":"If successful in enacting a one-year cap on credit-card interest rates, President Donald Trump could dramatically alter financial-sector earnings and business models. But investors shouldn't panic just yet, as one analyst sees his proposal as \"highly unlikely\" to come to fruition.The president put out a surprise social-media post on Friday, saying he planned to follow through with a campaign promise for a 10% cap on credit-card annual percentage rates, starting Jan. 20.Jefferies analyst John Hecht, however, wrote Saturday that Trump doesn't have executive authority to make such a move on his own. And if he brings the issue to Congress, it would presumably be \"dead on arrival,\" he said, given the likely spillover effects of a rate cap and a lack of support for similar initiatives in the past.\"The legislative risk remains relatively low, but clearly higher now that the president has called for this action,\" Raymond James policy analyst Ed Mills added in a Sunday note to clients. He noted that caps \"are generally state-specific laws.\"Hecht, echoing what banking-industry groups have said recently, warned that a 10% rate cap wouldn't mean that credit-card companies simply lend as usual but with lower rates. Rather, they would be expected to tighten lending standards, shutting out borrowers with lower credit scores. And as a result, that could drive \"weaker retail sales and consumption across the entire economy, hurting GDP,\" Hecht noted.Still, he thought through how Trump's proposal would ripple across the financial-services sector in the event it did get implemented, and crunched the numbers for American Express $(AXP)$, Atlanticus Holdings $(ATLC)$, Bread Financial Holdings $(BFH)$, Capital One Financial $(COF)$, Synchrony Financial (SYF). (Visa (V) and Mastercard $(MA)$ operate credit-card networks but don't actually lend to consumers.)Bread's stock was down 12%; $Synchrony Financial(SYF-B)$ shares were off 8%; Capital One shares were off 7%; American Express shares were off 5%; Citi down 3%; Visa and Mastercard shares were both down more than 2%.American Express has a more premium customer base, but \"at face value,\" a 10% cap could still reduce its net interest margin to an estimated 5.7% from 9.2%, according to Hecht's calculations on the metric - a measure of banking-industry profitability. The impact would be far more dramatic for other companies with more subprime exposure, as the chart below shows.Doing the math is somewhat difficult, he conceded, since credit-card companies likely wouldn't sit still and would probably put in place new fees to help make up for lost revenue and earnings.Truist Securities analyst Brian Foran put the situation more bluntly, calling the proposal \"not great\" for the card companies even though its severe potential consequences could stop it from becoming a reality.In Foran's view, \"even if 10% doesn't happen, it opens the debate about whether some amount of pricing cuts are on the table.\"He seemed to take a more severe view of the financial consequences, writing that the credit-card business could become downright unprofitable if these changes were to get enacted.Synchrony and Bread, which put out store cards, have the most to lose, \"because they are relative pure plays on cards, and because they have higher yields on their loans,\" he wrote in a note to clients. \"Full-spectrum lenders like [Capital One] would be next,\" with Amex presumably \"a little more insulated by its spend-heavy business mix.\"TD Cowen's Jaret Seiberg agreed Trump doesn't have unilateral authority, and also noted Congressional reticence, but said the move may put political pressure on the issuers. He suggested they might bring an existing 36% cap on interest rates for the military to all consumers.Meanwhile, \"alternative\" financial-services companies might benefit from Trump's proposal, were it to actually take effect, according to the Raymond James policy team. They called out buy-now-pay-later operators, namely Block (XYZ). Affirm Holdings (AFRM) also operates a BNPL business and is a pure play on installment payments.Investors could find out more about what to expect when financial companies hold their earnings calls in the coming days and weeks.\"Against the doom and gloom, it is worth nothing that over time the credit card industry has shown a remarkable ability to adapt the offer to regulatory changes,\" Foran noted.","news_type":1,"symbols_score_info":{"SYF":1,"XYZ":1,"USB":2,"COF":1,"MA":1,"GS":2,"BFH":1,"BK":2,"BAC":2,"V":1,"MS":2,"C":2,"JPM":2,"WFC":2,"DB":2,"AXP":1,"CS":2}},"isVote":1,"tweetType":1,"viewCount":0,"commentLimit":10,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"symbols":[],"verified":2,"subType":0,"readableState":1,"langContent":"EN","currentLanguage":"EN","warmUpFlag":false,"orderFlag":false,"shareable":true,"causeOfNotShareable":"","featuresForAnalytics":[],"commentAndTweetFlag":false,"andRepostAutoSelectedFlag":false,"upFlag":false,"length":302,"optionInvolvedFlag":false,"xxTargetLangEnum":"ORIG"},"commentList":[],"hasMoreComment":false,"orderType":2}