New York, Jan 18, 2026, 06:51 EST — Market closed.
- Shares of Bank of America closed Friday 0.7% higher, finishing at $52.97.
- U.S. stocks held steady ahead of the long weekend, though bank shares came under pressure amid talk of a proposed cap on credit-card interest rates.
- U.S. markets remain closed Monday as investors focus on upcoming inflation figures and the Fed’s meeting later this month.
Bank of America shares ended Friday at $52.97, rising 0.7%, just before the U.S. market pauses for a holiday, with trading set to resume Tuesday.
The setup is crucial as bank earnings drag lending margins and consumer credit back into focus, with policy risks creeping into the picture. “One of the other reasons markets have been flat-lining is we’re at the start of the earnings season,” said Anthony Saglimbene, chief market strategist at Ameriprise Financial. Reuters
Markets will be closed Monday for Martin Luther King Jr. Day, resulting in a shortened week. Traders will have fewer sessions to adjust positions, and any policy announcements will hit without the cash market open.
Bank of America on Friday declared regular cash dividends for several preferred stock series, with record dates set from late January to early March. Payments are scheduled between mid-February and March. While preferred dividends are standard, they confirm the bank’s capital strategy remains on track.
A proposed one-year 10% cap on credit-card interest rates has rattled the sector, given that card APRs generate hefty profits for major lenders. On a different note, trading desks have thrived amid market swings. “Equity trading revenues have been the story of the earnings so far,” said Brian Mulberry, senior client portfolio manager at Zacks Investment Management. Reuters
Peers moved on earnings, too. PNC Financial reported a big jump in quarterly profit, driven by stronger net interest income and a boost in dealmaking. The bank also signaled it would ramp up share repurchases early in 2026 — a move some investors see as a signal for the wider banking sector.
Rates continue to drive the market. Treasury yields climbed following President Donald Trump’s comments on economic adviser Kevin Hassett and the Fed. The 10-year yield rose roughly 6.7 basis points — with one basis point equal to 0.01 percentage point — hitting 4.227%.
Fitch on Friday kept BAC International Bank’s long-term issuer rating steady at “BB+” and maintained a stable outlook, also dropping its previous rating watch. This move hints that concerns over funding and credit at the unit have diminished. Fitch Ratings
Still, a lot could swing the other way. Should the credit-card rate cap take hold, bank revenue calculations shift quickly. And if the economy cools more than anticipated, loan growth may slow while losses climb—particularly in unsecured consumer credit.
Traders now turn to a packed schedule of U.S. data later this week. Key releases include the Fed’s favored inflation measure, the PCE, along with flash PMI business surveys, flagged by NYSE market strategists.
Looking ahead, the key date to watch is the Federal Reserve’s policy meeting on Jan. 27-28 — the event that might shift the rate trajectory banks are trading around.
