{"id":105295,"date":"2017-04-27T07:51:31","date_gmt":"2017-04-27T11:51:31","guid":{"rendered":"http:\/\/countingpips.com\/?p=105295"},"modified":"2017-04-27T07:51:31","modified_gmt":"2017-04-27T11:51:31","slug":"trumps-tax-plan-offers-few-details","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2017\/04\/trumps-tax-plan-offers-few-details\/","title":{"rendered":"Trump\u2019s tax plan offers few details"},"content":{"rendered":"
April 27, 2017<\/div>
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By IFCMarkets<\/a><\/p>\n

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US stock indices slip<\/h2>\n<\/div>\n<\/div>\n

US stocks <\/b>closed marginally lower on Wednesday as the outline of President Donald Trump\u2019s tax plan provided few details. The dollar inched higher: the live dollar index<\/a> data show the ICE US Dollar index, a measure of the dollar\u2019s strength against a basket of six rival currencies, closed up 0.15% at 98.870. The S&P 500<\/a> slipped less than 0.1% settling at 2387.45 led by real estate and consumer staples stocks, with seven of the eleven primary sectors finishing in the red. The Dow Jones <\/em>industrial average fell 0.1% to 20975.09 weighed by losses in Procter & Gamble and Boeing shares, down 2.5% and 1% respectively after disappointing first-quarter earnings.Nasdaq <\/em>index was little changed closing down 0.27 points at 6025.23.<\/p>\n

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While mostly better than expected corporate reports so far point to improving economic performance of US companies the tax outline presented by Treasury Secretary Steven Mnuchin and National Economic Council Director Gary Cohn delivered few surprises though lacking details. The plan proposes a reduction of tax brackets for individuals to three from seven and a repeal of the provision that allows individuals to deduct state and local taxes from their reportable income. It will also lower the corporate tax rate to 15% from 35%, to 39.6% for small businesses, and includes cuts for taxes on overseas corporate profits returned to the country. While proposed changes will stimulate growth in the long term, the measures were anticipated. Investors will now focus on White House\u2019s progress in pushing the announced changes through Congress. Today at 14:30 CET initial jobless claims and unemployment claims will be released, as well as March preliminary Durable Goods Orders will be published, the outlook is negative for dollar. And at 16:00 CET March Pending Home Sales will be released, the outlook is negative.<\/p>\n<\/div>\n<\/div>\n

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European stocks rise on positive earnings reports<\/h2>\n<\/div>\n<\/div>\n

European stocks <\/b>advanced on Wednesday with better than expected corporate reports bolstering risk appetite as investors awaited unveiling of Trump\u2019s tax plan. The euro <\/em>slipped while British Pound <\/em>rose against the dollar. The Stoxx Europe 600 added 0.5% led by luxury and financials stocks. Germany\u2019s DAX 30 <\/em>rose 0.1% to 12472.80. France\u2019s CAC 40 <\/a>closed 0.2% higher and UK\u2019s FTSE 100 <\/em>index fell gained 0.2% settling at 7288.72.<\/p>\n

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Positive earnings reports provided additional support for market sentiment buoyed by centrist Macron\u2019s win in first round of French elections and recent better-than-expected euro-zone economic data. Gains in Credit Suisse and Standard Chartered led regional banking stocks higher on higher-than-expected profits. Credit Suisse shares rose 2.7%, Deutsche Bank added 2.3%. Today at 13:45 CET the Central European Bank interest rate decision will be released. No change in policy is expected. At 14:00 CET April preliminary inflation will be published in Germany, the outlook is negative for euro. And at 14:30 CET ECB press conference will start.<\/p>\n

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Asian stocks extend gains<\/h2>\n<\/div>\n<\/div>\n

Asian stock indices<\/b> are mostly up today as investor digest Trump\u2019s one-page tax reform outline. Nikkei <\/em>ended 0.2% lower at 19251.87 despite continued weakening of the yen against the dollar and no change in monetary policy by Bank of Japan. However the central bank offered its most optimistic assessment of the economy in nine years, forecasting a pick-up in overseas demand will help sustain an export-driven recovery. Chinese stocks are up: Shanghai Composite Index <\/em>is 0.4% higher and Hong Kong\u2019s Hang Seng Index<\/em> is up 0.5%. Australia\u2019s All Ordinaries Index is 0.1% higher as the Australian dollar inches higher against the buck.<\/p>\n

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Oil prices slip as global oversupply endures<\/h2>\n<\/div>\n<\/div>\n

Oil futures prices <\/b>are inching lower today with continued global inventory overhang weighing on price prospects. On Wednesday the Energy Information Administration reported Wednesday that US crude supplies fell 3.6 million barrels last week, third consecutive weekly decline and the largest so far this year. However US crude oil output continued rising, up 10% since mid-2016 at 9.27 million barrels per day. June Brent crude fell 0.5% to $51.82 a barrel on Wednesday on London\u2019s ICE Futures exchange on Wednesday.<\/p>\n

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Note:
\nThis overview has an informative and tutorial character and is published for free. All the data, included in the overview, are received from public sources, recognized as more or less reliable. Moreover, there is no guarantee that the indicated information is full and precise. Overviews are not updated. The whole information in each overview, including opinion, indicators, charts and anything else, is provided only for familiarization purposes and is not financial advice or \u0430 recommendation. The whole text and its any part, as well as the charts cannot be considered as an offer to make a deal with any asset. IFC Markets and its employees under any circumstances are not liable for any action taken by someone else during or after reading the overview.<\/p>\n","protected":false},"excerpt":{"rendered":"

By IFCMarkets US stock indices slip US stocks closed marginally lower on Wednesday as the outline of President Donald Trump\u2019s tax plan provided few details. The dollar inched higher: the live dollar index data show the ICE US Dollar index, a measure of the dollar\u2019s strength against a basket of six rival currencies, closed up […]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-105295","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/105295","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=105295"}],"version-history":[{"count":2,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/105295\/revisions"}],"predecessor-version":[{"id":105300,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/105295\/revisions\/105300"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=105295"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=105295"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=105295"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}