Skip to content
Subscriber Only

Your Evening Briefing

Get caught up.

Video player cover image

Risk of dollar shortage is materializing, BMO Capital’s Stephen Gallo says.

Want to receive this post in your inbox every afternoon? Sign up here

The 2017 tax overhaul pushed through by a Republican-controlled Congress and signed by President Donald Trump is hurtling the budget deficit toward $1 trillion territory (the national debt is $22.5 trillion). The law largely rewarded the wealthy and corporations, many of which plowed their winnings into stock buybacks. Now, with economists predicting a 35% chance of recession in the next year, the White House is considering indexing capital gains, a move to circumvent a now divided Congress that would, like the tax bill, make the rich richer. It may also trigger litigation. Now, Trump is denying even considering the change.