Monday’s stock-market plunge is unlikely by itself to make a significant dent in a U.S. economy that’s enjoying solid gains in spending and hiring, though it has the potential to rattle consumer sentiment, which soared after the November 2016 election.
The private sector added a robust 234,000 jobs in January as wages increased, according to payroll giant ADP, on the heels of the passage of the Tax Cuts and Jobs Act and minimum wage hikes in some states and cities.
President Donald Trump’s planned tax overhaul is likely to boost U.S. economic growth by about a quarter percentage point in 2018, yet it will also dent demand for housing and fail to lower the chances of a recession, according to a Bloomberg News survey.
President Donald Trump and congressional Republicans billed their tax overhaul for months as a benefit primarily for the middle class, but what they delivered Thursday was designed more to favor large corporations and some closely held businesses.
House Speaker Paul Ryan’s efforts to kill a deduction as part of a Republican tax overhaul would hit very close to home—among his constituents with homes on glistening Geneva Lake in his southeastern Wisconsin district.