New York, Jan 14, 2026, 21:06 EST — Market closed.
American Express shares ended Wednesday slightly higher, gaining 0.07% to close at $358.26. The stock steadied after a volatile start to the week for credit card companies. U.S. bank stocks remained under pressure as investors weighed President Donald Trump’s efforts to limit credit card interest rates. 1
The policy debate is crucial since American Express and other card issuers depend heavily on interest income and fees. A strict cap could squeeze their margins or alter how they underwrite loans. U.S. House Speaker Mike Johnson acknowledged Congress should consider the proposal but cautioned about “negative secondary effects” if lenders reduce credit access. 2
Investors are keeping an eye on the Credit Card Competition Act, which Senators Roger Marshall and Dick Durbin reintroduced this week. According to a statement from Marshall’s office, the bill would force large banks to support at least two unaffiliated card networks for credit-card transactions, including one beyond Visa and Mastercard. This targets the current “swipe fee” system, or interchange fees, that merchants pay on card purchases. 3
The sell-off has hit broadly. Visa shares dropped roughly 7% since Monday, American Express fell about 5%, and Mastercard slid close to 5%, Investopedia reports. William Blair analysts see the dip as a buying opportunity, urging long-term investors to “accumulate” these stocks despite current uncertainty. Citigroup’s team also noted that previous sell-offs sparked by worries over their business models have often rewarded those who stepped in. 4
Markets are pricing in the headlines as a genuine near-term drag, despite widespread skepticism on Wall Street about the chances of swift approval. “Financials are getting hit by Trump’s credit-card proposal,” said Tim Ghriskey, senior portfolio strategist at Ingalls & Snyder, on Tuesday. He added that turning the proposal into reality would be “extremely difficult.” 5
A smaller competitor threw a curveball Wednesday. New York-based fintech Bilt announced a 10% introductory annual percentage rate (APR) for the first year on new cards. CEO Ankur Jain stated, “If (a credit card rate cap) is going to happen, we’d rather be at the forefront.” This move might ramp up political pressure on larger issuers like American Express. 6
But the downside is clear. Citi CFO Mark Mason argued a 10% cap would block credit access for those who need it most and cause a “deleterious impact” on the economy. CEO Jane Fraser added that the damage to banks would be “dwarfed” by the blow to consumer spending if credit tightens. 7
Thursday’s session will hinge on Washington. Traders will watch closely for any sign the administration can push a viable legislative plan, or if the proposal will remain just a headline that fades away. The longer uncertainty drags on, the more it could drag down valuations throughout the card complex.
American Express is set to release its fourth-quarter and full-year 2025 results on Jan. 30. The earnings materials will drop around 7 a.m. ET, followed by an 8:30 a.m. conference call. Investors will get a fresh update on spending patterns and credit costs, even as the policy debate continues in the background. 8
