US stocks are largely continuing their winning streak of the last few sessions, benefiting from the perception that Donald Trump’s tax plan and aggressive fiscal stimulus plans will help improve the environment for US corporations. Besides providing these huge multinationals with an opportunity to repatriate cash held overseas back to America, he is also proposing some of the most competitive tax rates amongst advanced economies, helping these multinationals rebuild their American presence. Furthermore, plans are already in place to renegotiate key trade deals, with even the Canadians and Mexicans agreeing to revisit the North American Free Trade Agreement (NAFTA). As one of his major campaign promises, Trump actually has the power to enact trade reforms. In the meantime, futures of the Dow Jones Industrial Average have just reached record intraday highs, bolstered by political momentum.
Dow Futures Reach Record Highs
Daily Analysis - 11/11/2016