Banking Merger Frenzy May Meet Early End After Biden Order (1)

Just when it was getting going again, banking’s deal frenzy may be running out of steam.

In a sweeping executive order President Joe Biden plans to sign Friday, he urged the U.S. Justice Department along with key regulators including the Federal Reserve and the Office of the Comptroller of the Currency to more heavily scrutinize banking mergers. It’s part of the administration’s broader push to increase competition in America.

“The order likely stalls deal activity until the industry understands what the scrutiny means practically for banks,” Herman Chan, a Bloomberg Intelligence analyst, said in an email. “The executive order ...