The banking sector flew into positive territory this morning on the news that Donald Trump emerged victorious in the 2024 presidential election. Big Banks — including JPMorgan Chase (JPM), Goldman Sachs (GS) Morgan Stanley (MS), Wells Fargo (WFC), Bank of America (BAC), and Citigroup (C) — are likely seeing upside to possible deregulation under Trumps second term.

"It is a reflection that the Biden administration's financial services agenda is kaput, and we can make the argument that it was kaput before today because the banking industry has had a lot of luck in locking up some of the most important or significant regulations proposed by the Biden administration in court across the country," Punchbowl News financial services Reporter Brendan Pedersen tells Catalysts.

"At this point, all those court challenges might as well be over because Trump administration regulators will come in and just pull them back."

Pedersen discusses Senator Tim Scott's (R-SC) likely role as the next Senate Banking Committee chair, emphasizing a notable tone shift for the committee from Ohio Senator Sherrod Brown's (D) leadership.

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This post was written by Luke Carberry Mogan.