Big Winners and Losers for Banks on Election Night
November 5, 2014 10:45 AM
Republicans won a sizable victory late Tuesday, retaking the Senate after losing it eight years ago. Banks, too, largely benefited, as an ally of the industry captured a Senate seat in West Virginia, two credit union allies fell and a key Democratic senator squeaked past. Here's how election night played out for banks.
Mark Warner
Sen. Mark Warner, the senior senator from Virginia, was supposed to cruise to an easy re-election given his massive war chest and high poll numbers. Instead, it came right down to the wire, with Warner's opponent Ed Gillespie up for most of the night as the votes were counted. As of now, Warner is ahead and expected to win, but a recount is likely.
(Image: Bloomberg News)
Richard Shelby
With the GOP in control of the Senate, Sen. Richard Shelby is expected to become chairman of the Banking Committee. That could cut both ways for the banking industry. The Alabama Republican is skeptical of regulatory power and favors regulatory relief, particularly for smaller banks. But he's no friend to the largest banks, either. For more, read this .
(Image: Bloomberg News)
Shelley Moore Capito
Rep. Shelley Moore Capito, the long-time member of the House Financial Services Committee, easily won her race to serve as a senator from West Virginia. Capito was head of the House financial institutions subcommittee and is a strong advocate for bank regulatory relief. Given her background, it is probable she will take a seat on the Senate Banking Committee.
(Image: Bloomberg News)
Sen. Mark Udall
Sen. Mark Udall lost his race to keep his Senate seat from Colorado in an upset that particularly hurt Democrats on election night. But it was also a victory for banks, particularly the Friends of Traditional Banking Super PAC, which had made Udall one of two targets this cycle because of his support for expanding credit union powers.
(Image: Bloomberg News)
Bruce Braley
Speaking of candidates that banks didn't like, Democrat Bruce Braley lost his bid for a Senate seat in Iowa to opponent Joni Ernst. Braley had been endorsed by the Iowa Credit Union League, which called him a "champion" for the movement. But he was the other candidate targeted by Friends of Traditional Banking precisely for that support.
(Image: Bloomberg News)
Sen. Kay Hagan
Put this in the losses column for banks. Although Sen. Kay Hagan was a Democratic senator, she was widely viewed as a moderate on the Senate Banking Committee, given the importance of banking to her home state of North Carolina. But Hagan lost her reelection bid last night.
(Image: Bloomberg News)
Don Beyer
Don BeyerAuto dealer Don Beyer won his race to become a congressman from Virginia's 8th District. While little-known in banking circles, Beyer is poised to play a key role in a debate over auto financing between dealers, lenders and the CFPB.
Janet Yellen
Federal Reserve Board Chair Janet Yellen wasn't on the ballot on Tuesday, but the Republican victory in the Senate will make her job more difficult. Republicans have been deeply skeptical of the Fed's monetary policy moves and are pushing for greater oversight of the central bank. As Banking Committee chairman, Shelby is likely to step up efforts to look at the Fed and its powers.
(Image: Bloomberg News)
Richard Cordray
Consumer Financial Protection Bureau Director Richard Cordray already faced a hostile Republican leadership in the House over the past two years. But with GOP control of the Senate as well, it's likely we'll see more investigations and oversight hearings of the fledgling agency in that chamber as well.
(Image: Rick Reinhard)
