Bankers Weigh Deregulation Optimism Amid Trump's Financial Policy Uncertainty

Wall Street financiers expressed optimism about Trump's deregulatory stance, tempered by uncertainty over his policies and personnel. While anticipating friendly regulators, they remained cautious about interest rates' impact on loan growth. Experts discussed Trump's administration's impact, with concerns over financial regulation and long-term business competition from fintech and crypto.

Wall Street financiers met in Manhattan, optimistic about President-elect Trump's deregulatory agenda tempered by uncertainty over his policies. Bankers were upbeat on deals, expecting sympathetic regulators to ease regulations but remained attentive to Trump's specific financial directions.

Despite open capital markets, analysts urged caution regarding loan growth if interest rates remained high. Discussions also highlighted Trump's probable mix of pro-business and populist policies, likely scrapping higher capital requirements unpopular with banking giants.

Bank CEOs expressed confidence in mergers, acquisitions, and IPO pipelines. However, concerns persisted that Trump's focus on crypto could spur competition, potentially impacting banks long-term if financial activity shifts to lesser-regulated areas such as fintech.

(With inputs from agencies.)