Biden Flips on Taxes | Catalyst for Stocks

president joe biden will likely be

unable to keep one of his campaign

promises to roll back the historically

unpopular well i don't know if they're

unpopular 2017 tax cuts because of

unyielding resistance among even some of

its

of his own in his own party

uh all right let's see here

biden's case kirsten cinema of arizona

has loomed the biggest obstacle

opposing the tax increases biden has

already acknowledged that there aren't

enough votes to raise the corporate tax

rate oh whoa

that folks is huge for the stock market

oh

that is

that's dalahalas folks

and i imagine that could be what

actually leads to a little bit more of a

rally today because when this tax plan

was announced the market fell

uh a good three or four percent i mean

we had a fall when there was talk about

corporate tax rates going up which we

expect a higher corporate tax rate to 28

percent even 26.9 percent to have about

four to five percent impact on the

market if now we're not going to get

that we can see a reversal of that and i

think this just reiterates this end of

the year rally that uh not only we've

been expecting

but that

it kind of feels like we're in right now

it's been a little bit harder to buy

right now because everything just seems

to be you know up up up up and away i've

obviously every time i

either close an option or i sell some

puts or whatever i send alerts in the

stocks and psychology money group link

down below keep in mind that coupon code

does expire on friday which just means

the price is going up the next day

uh i know sometimes the people that was

like heather dude joey's a coupon yeah

but the net price goes up and up and up

over time and that is really just a

reward to the early adopters like

yesterday i published like 26 new

lectures totally for free like there's

no upsell for those in in the the

program uh but because of that price

goes up over time anyway uh so uh this

is actually really really bullish i'd

say uh the setback is ironic considering

how many

how trump's overhaul was historically i

don't understand why they're saying it

was historically unpopular to whom was

it historically unpopular oh 538 did the

poll okay i'll hold my breath

not

all right we'll see what happens in just

a moment

i'm surprised uh that it seems like the

corporate tax rate hike is out that's

huge more about the tax plan will be

known later this week with senate

democrats planning to release their own

plan to fund what's been shaping up to

be a near 2 trillion social spending

package the negotiations over revenue

position

provisions are ongoing there are many

options for the wealthy and corporations

to pay their fair share you know i'm

tired of hearing that fair share line uh

and that's mostly because

when i pay taxes i pay like 55 i'm

paying lots in taxes why why do they say

it's unpopular who says it's unpopular

about a third of voters currently

support the tax reform package

okay this was this is an old uh article

huh yeah this is from from november of

2017 i would love to see a poll

after

after the fact like now that it's been

passed how do people feel about the tax

cuts now from 2017 i would argue a lot

of the the provisions in there are

actually relatively popular

uh but okay

trump's tax law could end up being one

of his most enduring policy legacies

2017 republican tax law took the

corporate tax rate down to 21

from 35 percent lowered the top tax rate

for the highest earning americans to 37

this is bullish on the corporate taxes

staying well this is this is great

tense lobbying okay obviously lobbying

political reality the popularity of a

higher corporate tax rate means

democrats are likely to continue to

focus on that for years to come i mean i

don't and i'm not saying this to be

political but

i don't think democrats are going to

hold on to power in 2022 i think we just

have to be real with that that democrats

are probably going to lose power so if

they want to raise the corporate tax

rate they're gonna have to figure out

how to do that like asap

and uh without reconciliation i don't

know if they're gonna be able to pull it

off

so the fair share tax issue going

forward is going to play a major role

right tax the rich stuff okay got it

whatever

so

uh

all right let's pull back

uh so yeah but that is actually very

very good news i will say on the

corporate tax rate and i i would expect

the markets to to be bullish on that

overall in fact like i mentioned i mean

the indices were mostly green so far

this morning already and i don't know

how much right now this is contributing

to the market i think it's just

something that can continue to be a sort

of a wind at the back of these markets

but uh worth noting again that markets

did fall when this corporate tax rate

plan was announced uh at the beginning

of biden's term and so uh it's exciting

to see a rotation here nasdaq future is

now up about point six percent

[Music]