New York, Jan 18, 2026, 16:39 EST — Market closed.
- Citigroup shares ended Friday at $118.04, rising 0.49%.
- Investors await details on President Donald Trump’s plan to impose a one-year 10% cap on credit-card rates, scheduled to begin Jan. 20.
- Citi’s recent earnings showed a boost in dealmaking fees, offset by a Russia-related loss stemming from its exit.
Citigroup (C.N) shares closed Friday at $118.04, gaining 0.49%, and were last seen at $118.24 in after-hours trading. The stock fluctuated between $117.00 and $119.35 throughout the session. 1
The stage for the next session is unsettled. U.S. markets will be closed Monday in observance of Martin Luther King Jr. Day. The S&P 500 financial sector just logged its steepest weekly drop since October, as investors balanced the kickoff of earnings season with fresh policy concerns hitting card lenders. 2
The proposed one-year 10% cap on credit-card interest rates, set to start Jan. 20, remains a major overhang. The White House hasn’t detailed how it would enforce this, and analysts say it will probably require congressional approval. “I think there will be an ongoing conversation between the industry and the administration,” noted Stephen Biggar, a banking analyst at Argus Research. 3
Politics add pressure to Citi’s business, which is tightly tied to consumer credit trends. The bank posted credit card charge-offs of 2.51% in December, marking loans unlikely to be repaid. Its credit card delinquency rate stood at 1.42% at the end of the month, according to a filing. 4
Citi’s latest quarterly results painted a mixed picture. The bank posted fourth-quarter net income of $2.5 billion, or $1.19 per share, on revenue of $19.9 billion. It also reported a $1.2 billion loss tied to held-for-sale accounting related to its plan to sell AO Citibank in Russia. CEO Jane Fraser said, “We enter 2026 with visible momentum across the firm,” highlighting a 10%-11% target for return on tangible common equity (RoTCE), a key profitability metric that excludes goodwill and other intangibles. 5
Dealmaking stood out as a strong performer. Citi’s investment banking fees jumped 35% to $1.29 billion, while revenue in its banking unit surged 78% to $2.2 billion. These numbers put Citi alongside bigger U.S. rivals like JPMorgan Chase, Bank of America, and Wells Fargo in this earnings cycle. 6
The card-rate debate remains a hot topic among traders. JPMorgan CFO Jeremy Barnum weighed in last week, saying a 10% cap “would be very bad for consumers, very bad for the economy.” He cautioned it might also lead banks to tighten credit access. 7
Still, outcomes vary widely, and the market’s pricing in that uncertainty. The downside is clear — a binding cap would tighten card economics and drive lenders toward leaner, lower-perk offerings. Investors also need to weigh the chances the proposal fizzles out, gets bogged down in Congress, or morphs into a voluntary “new product” compromise.
Rates remain crucial, and not only for credit cards. Investors are eyeing the Federal Reserve’s upcoming policy meeting on Jan. 27-28 for hints about future borrowing costs. These costs directly impact banks’ net interest income — the gap between earnings from loans and expenses on deposits. 8
Citigroup shares now hinge on political and calendar milestones: look for White House or congressional signals before Jan. 20, then the Fed’s decision on Jan. 28, plus new credit data as earnings season moves past the banking sector.
