Why Square Stock Jumped Today
Shares of Square (NYSE: SQ) have jumped today, up by 5% as of 12:30 p.m. EDT, after the U.S. government clarified aspects of the stimulus program designed to help small businesses, including opening up the program to fintech companies like Square. The payment processor's customer base is highly concentrated in small local businesses that are getting hit hard by the coronavirus outbreak.
Financial regulators have determined that banks would not need to maintain capital against loans provided under the small business rescue program, according to Reuters. That should ease reserve requirements and make it easier for small businesses to obtain loans to help weather the crisis.
Image source: Square.
Source Fool.com
