US banks ‘in go-mode’ under Trump, says JPMorgan executive

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US banks are “in the early stages of going” and the “animal spirits are alive”, according to a top JPMorgan Chase executive, as Wall Street bets that a lighter regulatory regime under President Donald Trump will spur deals at the world’s biggest companies .

Speaking at the World Economic Forum in Davos on Tuesday, the Wall Street lender’s head of asset and wealth management, Mary Erdoes, said she was “hopeful” that Trump’s regulatory approach would boost economic growth. US economyerasing some of the burden placed on the banking industry by the Joe Biden administration.

“If you look at the last administration and the number of new, significant regulations, it was eight times the number of significant new regulations compared to the previous Trump administration,” said Erdoğes, who is considered the frontrunner to succeed. Jamie Dimon at JPMorgan.

“Along with that comes several million hours of paperwork. Work. . . which clogs up the system and prevents the economy from continuing to have that very healthy flywheel. So we’re really looking forward to that.”

Erdoes’ comments come as banking executives in Europe worry that the softer regulatory approach favored by Trump could put European banks at a competitive disadvantage if the continent’s regulators push for stricter rules such as Basel 3.1.

Speaking on the same panel on Tuesday, Bill Winters, chief executive of Standard Chartered, said it was important that the rules were “consistently set globally so we don’t have this arbitrage from market to market”.

While Europe may struggle to get behind some regulations, the UK could lean heavily towards the US system, according to one senior banking executive.

“The UK government will be at the forefront of deregulation,” the executive said. “They have delayed the implementation of Basel III to see how or if it is implemented in the US.”

Meanwhile, JPMorgan’s Erdoes said that lighter regulation in the U.S. could lead to more deals and companies going public. [change]he said.

He added that JPMorgan had set up a “war room” to analyze and evaluate Trump’s executive orders overnight and praised the president’s decision to ban federal employees from telecommuting day to return to the office.

“Time will tell, but a lot of it is exactly what you would do to have a pro-business environment,” Erdoes said. , so we can continue to compete.”