Less than two weeks left of this tyranny. Then we'll be free from the socialists, the overreaching regulators, the long arm of government.
That's the subtext to the euphoria on Wall Street and in the American banking sector since Donald Trump was elected president. The KBW Regional Bank Index, which tracks 50 U.S. banks, is up an astonishing 27 per cent since Nov. 8. With the inauguration approaching, investors are assuming a Republican-led Congress will free banks from the shackles imposed by U.S. President Barack Obama and other policy makers after the 2008 financial crisis.
Some Canadian bankers have caught the mood, including executives at the helm of banks with sizable U.S. operations. At a conference this week, Royal Bank of Canada chief executive Dave McKay referred to Team Trump as a "pro-growth administration," adding that its policies should boost the lender's earnings.
"Pro-growth." It's a term Mr. Trump used during the campaign, and it's caught on now that he's about to assume power. There are other variations, and they all suggest, without explicitly saying so, that the Obama administration is anti-growth – or, if you read Breitbart News, dominated by Russian-style socialists.
But exactly how tight are the financial industry's shackles – and exactly how much better could things get for bankers under Mr. Trump?
DAILY DEALS
Bain Capital is weighing options for its stake in BRP Inc., more than a decade after teaming up with Quebec's Bombardier family to buy the maker of Ski-Doo snowmobiles and Sea-Doo watercraft, people familiar with the plan said. Story
Aritzia Inc.'s private investors appear to be capitalizing on positive market sentiment as they offload more of their shares just three months after the Canadian women's-fashion retailer went public. Story
ON THE MOVE
The Canada Pension Plan Investment Board is readying for a change to the senior management team as its chief financial officer prepares to retire. Story
ICYMI
Canadian banks hope for boost from Trump's 'pro-growth' plans, James Bradshaw reports Story