Plans for tax cuts outlined by US President Donald Trump on Wednesday have encouraged a rally in US stocks and the dollar, while treasury yields rose and the price of gold slumped.
The S&P 500 index closed the day 0.41% higher, approaching a record high by peaking at 2,511.75 yesterday, while bank and tech shares surged on hopes that lower tax rates will accelerate US economic growth. Small caps, which absorb some of the highest US tax rates, saw strong gains, while the Bloomberg Dollar Spot index rose 0.6% to the highest level since August. Meanwhile, 10-year note yields climbed to two month highs, while gold has fallen 1.4% against the dollar. Pound sinks and FTSE soars as May delivers FlorenceBrexit speech Trump's plan proposes to reduce the tax burden ...
To continue reading this article...
Join Professional Adviser for free
Signup and gain exclusive members-only insights
- Unlimited access to real-time news, industry insights and market intelligence
- Stay ahead of the curve with spotlights on emerging trends and technologies
- Receive breaking news stories straight to your inbox in the daily newsletters
- Make smart business decisions with the latest developments in regulation, investing retirement and protection
- Members-only access to the editor’s weekly Friday commentary
- Be the first to hear about our events and awards programmes
