Trump Backs Credit Card Competition Act: Potential Pressure on Visa, Mastercard, AmEx While Retailers Like Amazon and Walmart Could Gain

President Trump has posted a new announcement on Truth Social, the social media platform. He wrote:

“Everyone should support great Republican Senator Roger Marshall’s Credit Card Competition Act, in order to stop the out of control Swipe Fee ripoff. Roger is a FANTASTIC Senator!!! President DJT”

How Will Trump’s Statement Affect the Stock Market?

This latest post has the potential to affect the stock market. That’s because Trump’s endorsement of the Credit Card Competition Act could pressure card networks and payment processors like Visa, Mastercard, American Express, Fiserv, FIS, Global Payments and PayPal, as markets may price in lower interchange revenues, weaker pricing power, and heightened regulatory risk, which could also weigh on broad financial ETFs such as XLF and VFH. Conversely, large merchants and retailers such as Amazon and Walmart, as well as consumer-focused ETFs like XLY, XRT (via XLY proxy), and XLC-discretionary proxies, might be viewed as beneficiaries of potentially lower swipe fees and improved margins, supporting their share prices. Regional banking exposure via KRE could see mixed effects, as lower fee income from cards may be a headwind, but any boost to consumer spending and merchant health could partially offset pressure on the financial sector, including XLF, VFH, and XLF-adjacent instruments.

Here are some of the stocks that might be affected:
Amazon.Com, Inc. ((AMZN)),
American Express Company ((AXP)),
Fidelity National Information Services ((FIS)),
Fiserv, Inc. ((FISV)),
Global Payments ((GPN)),
Mastercard Inc ((MA)),
Visa Inc. ((V)),
Walmart Inc. ((WMT)),
Financial Select Sector SPDR Fund ((XLF)),
PayPal Holdings, Inc. ((PYPL)),
SPDR S&P Regional Banking ETF ((KRE)),
Vanguard Consumer Discretionary ETF ((VCR)),
Vanguard Financials ETF ((VFH)),
Consumer Discretionary Select Sector SPDR Fund ((XLY)).