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News  ›  Investing.com

American Express Sells Off as Markets Price Policy Risk Ahead of Details

Investing.com Logo Investing.com By Timothy Fries
American Express Sells Off as Markets Price Policy Risk Ahead of Details

American Express and other financial stocks tumbled following President Trump's announcement of a proposed 10% cap on credit card interest rates. AXP fell 5.03% to $356.75, while major banks and consumer finance companies experienced broader selloffs. Analysts warn the cap would severely hurt revenue and profits for credit card issuers, potentially forcing them to raise fees and reduce credit availability.

Insights
MA   neutral

Involved in joint venture for crypto-to-fiat payment card


AXP   negative

Stock fell 5.03% following Trump's credit card interest rate cap announcement. Two-day loss exceeded 6%. While company has strong long-term performance, near-term prospects are uncertain due to regulatory risk.