Bank Stocks Fall On Rate Cap

U.S. bank stocks fell as investors weighed whether President Trump’s proposed 10% cap on credit card interest rates could take effect without legislation. The administration said the move would improve affordability, while banks warned it would restrict credit availability by limiting risk-based pricing and pressure interest income. JPMorgan, Citigroup, and Wells Fargo led declines, with broader weakness across large financials. Analysts said issuers may respond with no-frills cards, reduced rewards, tighter credit limits, or higher fees if the cap is enforced. Uncertainty around implementation continues to drive volatility in bank shares.