New York, Jan 10, 2026, 14:40 EST — Market closed
- A weekend policy headline has thrust U.S. card lenders back into the spotlight as markets prepare to reopen
- Traders prepare for renewed clashes over credit availability and pricing
- American Express is gearing up for its next big event: the earnings report due in late January
American Express shares enter Monday’s trading under pressure following President Donald Trump’s call to cap credit card interest rates at 10% for one year, starting Jan. 20.
This move hits at the heart of how the industry prices risk on revolving balances, usually expressed as an annual percentage rate, or APR. Brian Jacobsen, chief economic strategist at Annex Wealth Management, explained in an email that when firms can’t accurately price risk, they tend to slash credit lines or cut off credit altogether. He pointed out that credit cards are unsecured loans.
Stocks can shift on chatter alone, even without an actual bill, injecting fresh uncertainty just as investors juggle consumer credit trends and interest rate forecasts. For lenders, charge-offs, delinquencies, and loan growth can pivot surprisingly fast.
AmEx dropped 1.9% on Friday, ending at $375.61, underperforming as the broader market hit a record close with the S&P 500 rising 0.65%. Capital One slid 2.6%. Visa and Mastercard, whose main business is running payment networks rather than issuing credit, each dipped roughly 0.7% to 0.8%.
AmEx saw heavier trading than normal. Volume exceeded its 50-day average, with the stock lingering just a few percentage points shy of its 52-week peak near $387.49, reached last December.
Investors often view AmEx as two separate plays: spending and credit. Merchant and card fees hinge on cardmembers’ swipe activity, while interest income depends on how much debt they carry—and the rates AmEx charges for that risk.
American Express will release its fourth-quarter earnings and hold a conference call on Jan. 30 at 8:30 a.m. ET, the company announced.
The call is set amid a noisy earnings season for financials, where analysts are eager for updates on 2026 guidance, credit trends, and any signals of pricing pressure or regulatory concerns tied to card lending.
One major risk for bulls and bears alike is the uncertainty: will any cap move beyond social-media chatter? How would it be structured? Could issuers counter with stricter underwriting, smaller loan amounts, or higher fees? Each of those moves might dampen credit demand—and slow spending—more quickly than investors anticipate.
The next market focus kicks off fast: December’s U.S. consumer price index arrives on Jan. 13, alongside the start of quarterly earnings from major U.S. banks. The Federal Reserve’s meeting on Jan. 27-28 also hangs over the market. American Express faces its next big deadline on Jan. 30.
