Capital One

COF

Market cap $149B

Banks are knocking President Donald Trump's bid to cap credit card rates.

Top executives from the nation's largest financial institutions issued warnings this week during fourth-quarter earnings calls, arguing that President Donald Trump's proposed 10% cap on credit card interest rates would backfire.

President Trump's announcement blindsided the industry, sending banking shares tumbling across Wall Street this past week.

Trump's proposed 10% credit card interest rate cap triggered immediate regulatory risk repricing across credit card issuers and payment networks. Companies most exposed to high-APR revolving credit, like Capital One and Synchrony, face binary risk: significant earnings compression or business model overhaul.

Pres. Trump discusses recent economic controversy and proposals in front of the press.

Scott Siefers, Piper Sandler, joins 'Closing Bell Overtime' to talk Big Bank earnings including JPMorgan Chase kicking off earnings season with its quarterly report.

JPMorgan CFO Jeremy Barnum warned that President Trump's proposed 10% credit card interest rate cap could hurt the economy and reduce access to credit for consumers who need it most.

JPMorgan's top finance executive warned that the move would be “very bad for consumers.”

The Investment Committee give you their top stocks to watch for the second half.

Joe Mazzola with @CharlesSchwab shares his takeaways from the CPI report and thinks the most important part is the impact on fixed income: “if we can continue to have stability” in the 10-year, he says, it can boost the equity market. He thought JPMorgan Chase's (JPM) earnings were “good” but thinks Trump's comments about capping credit card rates are weighing on the financial sector.