New York, January 13, 2026, 12:13 EST — Regular session
- Shares of Citigroup dipped roughly 0.4% by midday trading
- Reuters reported the bank plans to slash roughly 1,000 positions this week
- Citi will release its quarterly earnings on Wednesday
Shares of Citigroup dipped 0.4% to $117.27 by 12:13 p.m. EST Tuesday, following a Reuters report that the bank plans to cut roughly 1,000 jobs this week. The cuts come as Citigroup moves to trim costs ahead of its quarterly earnings. A spokesperson said, “These changes reflect adjustments we’re making to ensure our staffing levels, locations and expertise align with current business needs.” (Reuters)
The cuts come at a delicate time for the stock. Investors have been pushing major U.S. banks to tighten their expense management and deliver more consistent returns as the sector approaches a new round of earnings reports.
Bank results are shaping investors’ expectations for 2026, focusing on trading gains, fee growth, and how well loan losses are controlled. JPMorgan, kicking off the reporting season for major banks this week, posted fourth-quarter profits that beat forecasts, driven by a 17% jump in markets revenue despite volatile trading conditions. (Reuters)
Policy risk is hitting card-heavy financial stocks hard, Citi included. Shares dropped 3.7% after Reuters reported Monday that President Donald Trump proposed a one-year 10% cap on credit card interest rates starting Jan. 20—a move that shook bank and consumer finance sectors. Analysts at UBS Global pointed out, “It would take an Act of Congress for such rate caps to be in place.” (Reuters)
Banks and outside experts are sparring over what could happen if Washington pushes rates down. Morningstar analyst Michael Miller called Trump’s remarks “mostly a call to action” but said there was no clear policy plan behind it. Brian Shearer, director of the Vanderbilt Policy Accelerator, shot back, saying, “The profit margins are absolutely massive” and insisted, “There really is some fat to cut.” (Reuters)
JPMorgan executives didn’t mince words on the risks. “It would be very bad for consumers, very bad for the economy,” said JPMorgan CFO Jeremy Barnum, as the KBW Bank Index slipped 0.9% in morning trading. (Reuters)
Citi’s upcoming report is the next major event to watch. The bank will drop its fourth-quarter 2025 results around 8 a.m. ET on Wednesday, followed by a webcast and conference call at 11 a.m. ET. (Citi)
Citigroup submitted a Form 8-K on Jan. 12 containing multiple supplemental indentures related to debt securities, along with other exhibits. (SEC)
Cost cuts can be a double-edged sword. Investors will watch closely for signs the savings hold up without undercutting revenue-driving teams. They’ll also be on the lookout for any hints that credit quality is slipping as politics and interest rates squeeze consumer borrowing.
Traders are zeroing in on Citi’s earnings and remarks due Wednesday. The focus will also be on whether the credit-card cap proposal gains momentum with the Jan. 20 start date looming.
