Extracted Insight
U.S. District Judge Brian Cogan in Brooklyn granted preliminary approval to a revised $38 billion settlement between Visa, Mastercard and merchants alleging antitrust violations over swipe‑fee practices. The judge found the settlement fair, reasonable and adequate. The settlement resolves litigation dating back to 2005 and follows a prior $30 billion proposal that was rejected two years earlier. Trade groups such as the National Retail Federation, Merchants Payments Coalition and National Association of Convenience Stores opposed the deal, warning merchants would have to choose between high fees for popular rewards cards or losing revenue by refusing those cards.
Stock Market Impact
Visa (V) shares rose 1.68% and Mastercard (MA) shares rose 1.97% on the news, indicating a positive market reaction.
Listed Companies and Sectors
The settlement directly involves Visa Inc. and Mastercard Incorporated, impacting the financial services/payments sector.
Investment Flows
No specific measures affecting foreign direct or portfolio investment were mentioned.
Interest Rates, Inflation, and Liquidity
The article does not discuss monetary policy, interest rates, inflation, or liquidity.
Fiscal or Monetary Policy
No fiscal or monetary policy actions are referenced in the settlement announcement.