S&P 500 pulls back from record as JPMorgan shares fall, traders deal with barrage of Trump demands

The S&P 500 fell on Tuesday as investors sold JPMorgan despite better-than-expected numbers and grappled with volatility from a flurry of President Donald Trump proposals floated in the past few days.

The broad-based index slipped 0.3%, while the Dow Jones Industrial Average shed 360 points, or 0.7%. The Nasdaq Composite fell 0.1%.

JPMorgan dipped 3%, even after the company’s fourth-quarter results beat on the top and bottom lines. While both companywide and equities trading revenue increased in the quarter, investment banking fees fell and missed expectations.

The company’s CFO, Jeremy Barnum, also signaled that the banking industry could push back against Trump’s call for a one-year 10% cap on credit card interest rates, which he declared late Friday. Goldman Sachs followed JPMorgan lower, declining 1%. Other financial stocks such as Mastercard and Visa traded down roughly 4% each, putting them among the day’s worst performers. The State Street Financial Select Sector SPDR ETF (XLF) and Invesco KBW Bank ETF (KBWB) were under pressure as well.

Trump’s demand for credit card price controls came amid a slew of other calls from the president last week, including that defense companies should not be permitted to issue dividends or stock buybacks and that large institutional investors should be banned from buying more single-family homes.