Why Shares of Mastercard, Affirm, and SoFi Are Slumping Today
Shares of several payments and fintech stocks struggled to shake off a hangover from the Federal Reserve's September meeting yesterday, in which the Fed delivered another big rate hike.
Shares of the large payments rail Mastercard (NYSE: MA) traded nearly 1.5% lower in the final hour of trading today. Shares of the buy now, pay later (BNPL) company Affirm (NASDAQ: AFRM) traded more than 6% lower, and shares of digital bank SoFi (NASDAQ: SOFI) were down nearly 5%.
The Fed concluded its September meeting yesterday with a 0.75% hike to its benchmark overnight lending rate, the federal funds rate. The market had largely expected this, but it was the Fed's comments that seemed to further rattle markets after the rate hike and into today.
Source Fool.com
