New York, January 11, 2026, 14:24 EST — The market has closed.
- On Friday, American Express shares ended down 1.9%, closing at $375.61
- Trump proposed capping credit-card interest rates at 10% for one year, beginning Jan. 20
- Tuesday’s CPI report and midweek earnings from major banks will be the next key drivers for card lenders
American Express (AXP.N) faces renewed pressure Monday after U.S. President Donald Trump proposed a one-year freeze on credit-card interest rates, capping them at 10% starting Jan. 20. (Business Insider)
This shift is crucial now since a cap, if enforced, would cut into card issuers’ profits from revolving balances—the portion of credit card debt customers carry month to month. Investors are also entering a fresh earnings season, where lenders’ credit expenses and loan growth typically cause the first major market moves. (Barron’s)
Brian Jacobsen, chief economic strategist at Annex Wealth Management, pointed out that credit card lines are “unsecured loans,” and lenders might cut limits if they struggle to price risk accurately. “When companies can’t price the risk properly, they’ll just reduce credit lines,” he said in an email. (Reuters)
American Express shares dropped 1.92% Friday, closing at $375.61, even as the S&P 500 gained 0.65%, based on data from Investing. The stock remains roughly 3% shy of its 52-week peak of $387.49.
American Express has a key event on the calendar. The company announced Friday it will participate in the UBS Financial Services Conference on Feb. 10, offering a live webcast for investors. (American Express Investor Relations)
Trump shared the proposed cap on Truth Social but didn’t explain how it would be enforced. Several outlets pointed out that a president can’t simply change private-sector interest rates without Congress. (CBS News)
Democratic Senator Elizabeth Warren slammed the effort as “meaningless” without actual legislation, adding, “Begging credit card companies to play nice is a joke.” (Banking Committee)
On Capitol Hill, there’s already a bill on the books proposing a temporary 10% cap on credit card interest rates, according to Congress’ bill tracker. That said, it’s far from moving toward passage. (Congress)
Banking trade groups fired back, saying a cap would “reduce credit availability” and push some borrowers toward “less regulated, more costly alternatives,” according to a joint statement from the Consumer Bankers Association. (Consumerbankers)
This week, all eyes are on the U.S. inflation report. The Labor Department is set to release December 2025’s Consumer Price Index Tuesday at 8:30 a.m. ET. That figure often shifts bond yields and can shake up rate forecasts for financial stocks. (Bureau of Labor Statistics)
Earnings will also move the needle. JPMorgan is up first on Tuesday, followed by Wells Fargo and Citigroup on Wednesday, according to their investor sites — numbers that tend to influence initial sentiment on consumer credit ahead of card lenders’ reports. (JPMorgan Chase)
American Express will release its fourth-quarter and full-year earnings on Jan. 30, the company announced. Investors will be watching closely for updates on spending patterns, loan growth, and credit trends. (American Express Investor Relations)
AXP faces the risk that Washington chatter could either harden into actual restrictions or drag on, souring sentiment. Traders are on alert for any White House updates on rollout plans before Jan. 20, as well as Tuesday’s CPI and initial bank data, which could shift expectations around consumer credit ahead of American Express’ Jan. 30 earnings report.
