Stocks of credit card companies slump as Wall Street overall drifts in mixed trading
AP News••business
Key Points:
- Credit card company stocks fell sharply after President Trump proposed a 10% cap on credit card interest rates for a year, potentially reducing their profits; Synchrony Financial dropped 9.2%, Capital One 7.3%, and American Express 4.7%.
- Federal Reserve Chair Jerome Powell revealed that the U.S. Department of Justice subpoenaed the Fed and threatened criminal charges related to his testimony on Fed headquarters renovations, which Powell said was retaliation for the Fed's independent interest rate decisions.
- Despite tensions between the White House and the Fed, U.S. stock indexes showed modest gains, with the S&P 500 near its all-time high and the Dow and Nasdaq also inching up, while gold prices rose sharply amid investor nervousness
