New York, Jan 17, 2026, 07:50 a.m. ET — Market closed.
- On Friday, Bank of America shares ended the day 0.7% higher, closing at $52.97.
- The proposed 10% limit on credit-card interest rates is shaping up as the main wildcard for major lenders heading into Tuesday.
- Markets in the U.S. will be closed Monday in observance of Martin Luther King Jr. Day.
Shares of Bank of America Corp climbed 0.7%, closing at $52.97 on Friday. Investors are now gearing up to assess policy updates following the extended weekend.
Washington is pushing to cap credit-card APRs at 10% for a year starting Jan. 20, and BAC is already feeling the impact. The proposal hit bank balance sheets before all the details were clear. “There will be an ongoing conversation between the industry and the administration,” said Stephen Biggar, a banking analyst at Argus Research. Brian Mulberry, senior client portfolio manager at Zacks Investment Management, added a note of caution: “Policy volatility is likely to create market volatility.” https://www.reuters.com/sustainability/boards-policy-regulation/wall-street-banks-face-test-with-trumps-call-credit-card-rate-cap-2026-01-17/
That uncertainty is hitting at a critical moment, with financials already struggling as earnings season expands beyond the banks. “Bank earnings are showing a generally favorable economic and business backdrop,” said Anthony Saglimbene, chief market strategist at Ameriprise Financial. Investors now turn to upcoming reports from Netflix, Johnson & Johnson, and Intel, set for next week. https://www.reuters.com/business/wall-st-futures-rise-chipmakers-advance-end-choppy-week-2026-01-16/
Bank of America outpaced some of its major rivals on Friday. Citigroup gained 0.5%, while Wells Fargo slipped 0.7%, according to MarketWatch data.
Bloomberg News reported that the White House is considering an executive order linked to the rate-cap proposal, adding fresh uncertainty for lenders and credit card companies ahead of Tuesday.
Bank of America announced late Friday that its board has approved regular cash dividends on multiple series of preferred stock, with payments scheduled for February and March.
The scenario is clear: if the administration’s drive falters or becomes voluntary, pressure on bank valuations linked to card revenue might ease fast. But if it solidifies into a strict rule, banks could clamp down on credit, cut rewards, and hike other fees—moves that might dampen demand and ignite political friction.
BAC traders return Tuesday with one date marked: Jan. 20, when the cap is set to kick in. Investors will be eyeing any signals from the White House, how banks react, and whether the move reads as law, regulation, or just negotiating stance.
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