Democrats’ midterm-election gains are putting Wall Street on notice, with Sen. Elizabeth Warren (D-MA) expected to chair the Senate Banking Committee and Sen. Ron Wyden expected to lead the Senate Finance Committee. Senate Democrats are preparing to investigate JPMorgan Chase’s historic banking relationship with late sex offender Jeffrey Epstein, including the conduct of senior executives and related compliance reviews and communications. Wyden previewed a tougher oversight posture with a one-word message: "Subpoenas." Analysts and legal experts say the immediate result is more likely to be hearings, subpoenas, investigations and public criticism than major changes to banks’ operations or business models. The JPMorgan inquiry could increase management demands and legal and compliance costs, although the newer analysis cites a $376 fair value and says the bank’s diversified global franchise remains central to its growth case. President Donald Trump’s veto power and the continued leadership of financial regulators such as the FDIC (U.S. deposit insurance agency) and the OCC (U.S. national-bank regulator) limit Congress’s ability to reverse the administration’s agenda. The outlook could change if Democrats eventually control the White House and appoint new regulators, but that is not the current situation.