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Recently, tensions between the White House and Wall Street have escalated. The President announced plans to sue a major investment bank within two weeks, accusing it of discriminatory "debanking" practices. At the same time, he clarified rumors regarding the Federal Reserve Chair nomination, denying that the CEO of the said investment bank would be appointed to the position.
More aggressively, he also proposed setting a 10% cap on credit card interest rates. This move sent shockwaves through the financial community—Wall Street generally fears that bank net profits will be severely impacted. The public confrontation between the government and financial institutions has directly increased market risk premiums. Analysts believe that the ripple effects of this standoff are just beginning to spread, and subsequent impacts may continue to evolve.
Assets such as SOL, WLFI, and TRUMP are closely monitoring this policy development, with investor sentiment swinging amid policy uncertainty.