Visa, Mastercard fees probe widens as EU antitrust regulators look into market power
1. EU regulators expand investigation into Visa and Mastercard fees. 2. Possible charges for anti-competitive practices could arise.
FAQ
Why Bearish?
Increased scrutiny might potentially reduce revenue from fees, similar to the 2019 EU ruling against Mastercard's interchange fees, which negatively impacted stock prices.
How important is it?
Regulatory investigations can significantly affect financial institutions' operations and stock valuations directly.
Why Short Term?
Immediate regulatory response is likely, affecting investor sentiment in the near term.