Biden will meet with Senators Manchin and Sinema once again today

This is the third meeting in the past two weeks

Is three meetings in two weeks a sign of a stalemate? Or signs that they're getting somewhere?

One sign of progress is that both of the Senators aren't out there talking about how much they will or won't spend.

Previously, Manchin has said he wants to drop the cost of the reconcilliation bill to $1.5T or lower from $3.5T. Is that his staring offer or is there more?

Once the numbers are on the table, it's just a matter of finding some common ground. There's also the question about whether or not progressive Democrats will fold.

In terms of markets, this still doesn't seem to be a tradeable event. Obviously, higher corporate taxes could be an issue but is 1-2 percentage points really going to chase anyone out of stocks? Tech pays sol little tax anyway. And what else are you going to do? Put your money in bonds.

Meanwhile, the spending could improve overall economic activity with more money flowing to people with more propensity to spend it. That could help GDP over time.

So on net, perhaps it's not a big deal either way.

Invest in yourself. See our forex education hub.


September 29, 2021 at 03:05AM
Adam Button
https://ift.tt/3AOb3T6