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Wednesday, Aug 21
Visa on the move after Fed says it will appeal debit card ruling
- Shares of Visa (V +4.1%) shoot higher after the Fed announces it will appeal a ruling by a judge to strike down a cap on swipe fees.
- The drawn-out affair is over how high the cap should be on debit card transactions. Consumer groups and retailers would like the cap to be set at a lower level.
- MasterCard (MA +0.1%) and American Express (AXP -0.2%) will be impacted by the ruling as well, but the pair have a much lower percentage of total revenue tied to debit card swipes.