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. Pound sinks and FTSE soars as May delivers Florence Brexit speech 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. Trump's plan proposes to reduce the tax burden...
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