Health Care Repeal Dominates News; Earnings Continue; Tax Reform Nigh?
$1 The health care industry continues to coalesce against GOP proposals for repeal and/or replacement of the ACA. CBO scores place newly uninsured forecasts between 22-33 million Americans across the various proposals. Two votes occurred Tuesday and one so far Wednesday. The results and debate continue to keep markets on edge and overshadows earnings reports.
$2 Facebook ($FB) released earnings after hours today, revealing a 71% increase in profits. Earnings beat estimates by 20 cents per share. The company is boasting growth in its ad business, pushing the company near a $500B valuation, joining Amazon ($AMZN), Apple ($AAPL), Microsoft ($MSFT), and Alphabet ($GOOG). Facebook is up 3.4% after hours.
$3 President Trump revealed various priorities in tax reform, including possible increased taxes on the rich. This sentiment is an about-face from earlier plans, which heavily slanted towards the wealthy and corporations. Additionally, some relief for the middle class appeared evident. Such a push may aid in prolonging the 8-year-long bull market. Congress will not address taxes until health care is resolved (or abandoned) and a budget is approved. Breathe out.
That’s it for now.