The market had mixed trading today. The Dow traded up all day, and then at the end it fell for an 11 point loss to close at 22,284. The NASDAQ and S&P finished in the positive while oil and gold were both down today.
President Trump will speak tomorrow about the new tax plan. He laid out four goals: First, the tax plan will be “simple and fair”. He said that Americans waste 6 billion hours each year filing taxes and with the new plan the majority of households will be able to file taxes on a single page. Second, the plan will “tremendously” reduce taxes for the middle class. This will happen in part by doubling the standard deduction, and there will also be an increase to the child tax credit. Third, the plan will lower the tax rate for businesses. The goal is to have one of the lowest tax rates of developed countries. Finally, with an improved tax plan the goal is to bring back the roughly $3 trillion that sits overseas.
U.S. Commerce Secretary, Wilbur Ross, is in China to lay the ground work for trade talks ahead of a likely visit from President Trump in November. The administration wants to “guarantee fair and reciprocal treatment for U.S. firms”, and Secretary Ross continued to stress the need for China to address the concerns of U.S. businesses. China and the U.S. launched a 100 day economic plan back in April, but the U.S. business groups have not been satisfied with the progress of China in loosening their restrictions. Last month, President Trump authorized an inquiry into the alleged theft of intellectual property by China, which has been something that China has been very disappointed in, and has called it “irresponsible”.