US Futures Spike After Gary Cohn Promises Tax Reform By Year End

Tyler Durden's picture

Having hugged the flatline for much of the overnight session, S&P futures have spiked after the FT released an exclusive interview with Gary Cohn shortly after 5am ET this morning, in which Trump's chief economic advisor (and most likely future Fed chair) said that Trump's agenda and calendar "is going to revolve around tax reform" starting next week, assuring passage by year's end. Cohn explained that in the next three or four weeks, the tax bill will be written in the ways and means committee and Congress is "going to own" the writing of legislation. As a result, reform "can pass both of the tax committees and both chambers in 2017."

“Starting next week, the president’s agenda and calendar is going to revolve around tax reform,” Cohn said “He will start being on the road making major addresses justifying the reasoning for tax reform and why we need it in the US.”

Cohn also laid out the coming calendar, with kick-off set for next Wednesday, August 30, in Missouri when Trump will deliver a speech which will be "the first in a series of addresses designed to convince the US public about the need to revamp a tax system that has remained largely unchanged for three decades." Confirming the recent Axios report which sent stocks surging earlier this week, Cohn said that the tentative framework has been already agreed upon with  "key Republicans on Capitol Hill — House Speaker Paul Ryan, Senate majority leader Mitch McConnell, and Kevin Brady and Orrin Hatch, the heads of the congressional tax-writing committees — had agreed a framework that would serve as the basis for a bill that will be hammered out over coming weeks."

More importantly, Cohn once again reset timing expectations, and said "he hoped that the ways and means committee, the House panel that initiates tax legislation, would draft a bill over the next three to four weeks, and that he believed Congress would pass legislation this year."

Cohn also provided some further details on what Trump's tax plan would entail: "the plan would preserve three of the biggest deductions for individuals: on charitable donations, mortgage interest payments and retirement savings. It would raise the standard deduction cap that applies to most tax filers, but would eradicate many other personal deductions, he said, adding that the White House also wanted to get rid of “death taxes”, Republican terminology for estate taxes, which will face resistance from Democrats”.

Cohn also said the White House would be “excited” if "Democrats worked with Republicans on a bipartisan bill. But he said the administration would use a process called reconciliation — which prevents a filibuster in the Senate where the Republicans have a thin 52-48 majority — that would allow tax reform to pass with a simple majority, but only if the legislation is revenue-neutral within 10 years."

In a separate discussion on the latest social events that clouded the Trump administration, Cohn said Says Trump administration “must do better” in "consistently and unequivocally condemning" neo-Nazis and white supremacists following the violent protests in Charlottesville this month.

Cohn said he faced “enormous pressure” both to resign and to remain after Trump’s reaction to clashes, and said he feels "compelled to voice my distress over the events of the last two weeks." Cohn also said that "citizens standing up for equality and freedom can never be equated with white supremacists, neo-Nazis, and the KKK."

“As a Jewish American, I will not allow neo-Nazis ranting ‘Jews will not replace us’ to cause this Jew to leave his job. I feel deep empathy for all who have been targeted by these hate groups. We must all unite together against them.”

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cossack55's picture

WOW!!!! Never heard anything like that before.

BabaLooey's picture

Hey COHN - you fuck.

STOP using the "JewishAmerican" moniker. 

Oh, and keep your fucking mouth SHUT on tax reform - UNTIL YOU DO IT.

 

Keyser's picture

Nice stealth deletion of comments Tyler... 

totenkopf88's picture

The goyim know

Shut it down

BullyBearish's picture

when all that's for dinner is JAWBONING...they'll double down on JAWBONING to keep the markets from falling...been doing it since their boy trumpy was elected...

 

http://f.a7.org/pictures/772/772342.jpg

 

Giant Meteor's picture

Gary Cohn Promises !

You're killing me here, I just pissed on myself I'm laughing so hard ...

Honey, where are my depends !?

SoDamnMad's picture

Sure, in the spirit of American leadershipship the two parties will come together and in a bi-partisan spirit they will put their differences aside and do what is best for the country. Yeah, right. Never going to happen until a whole lot of politicians are shot or hacked to death in what promises to be Civil War 2.0.

Swamp Yankee's picture

Careful with the promises, Sunshine.

 

Don’t let your mouth write any checks that your arse can’t cover.

cossack55's picture

"As a Jewish American...."  Priorities are a little obvious, no?

FreeShitter's picture

Only if the sheep could put their two final brain cells together to see who the real culprits are.

yogibear's picture

Goldman Sachs.

Although the CEO of Goldman says he's out to get Trump.

They will all block Trump so it's wishful thinking.

nevertheless's picture

BULL SHIT, "out to get Trump" eh, and why would they be out to harm the very man they put into office. 

 

The idea that Trump is "anti-establishment", is a cannard developed by the ruling Zionists to give Chump cover for doign EXACTLY what Isreal/Wall Street desires. 

I am Jobe's picture

I guess Iowa folks are fucked. Must be the fucked up midwest, Wisconsin and now Aplle

Apple gets $208M in tax breaks to build Iowa data center

http://abcnews.go.com/Technology/wireStory/apple-208m-tax-breaks-build-i...

In addition to the promised 50 jobs, Apple has agreed to buy 2,000 acres of land for the $1.4 billion project, enough to allow for future development, said Debi Durham, the state's economic development director.

 

Time to stop this crap. OF course Iowans are too fucking inbred to think otherwise

VinceFostersGhost's picture

 

 

I guess Iowa folks are fucked.

 

It's flyover country......did you really think anyone was gonna stick up for Iowa?

 

Their elected leaders sure as hell don't care about them.

Tubs's picture

Who needs tax relief when QE4 kicks in - ie: global growth grinds to a halt, real estate, sudent and auto loan bubbles pop, US slides into recession and equities tank.

FreeShitter's picture

QE has and can never stop.

yogibear's picture

It hasn't stopped. Other central banks are doing it. Round-robin QE.

One central bank does over $200 billion/month for a while acouple of years then another does it. All coordinated.

ToSoft4Truth's picture

My 85 Y/O uncle told me QE has been going on since at least the 60's.  Then local cites and municipalities were told to buy new cars to help the economy. 

Giant Meteor's picture

Correct, which is exactly WHY all this asshattery, is all the more entertaining ...

The fat lady already sang ..

shimmy's picture

This like how killary was going to be investigated once pumpkin took office? Like how obozocare was going to be repealed? Like the wall being started?

I'll believe it when I see it. 

 

nevertheless's picture

I am still waiting for a wall...if this was Isreal, the Congress and Trump would have a 100 ft wall already constructed. 

Cardinal Fang's picture

Cohn 'hoped' , 'believed' , 'if' ...

Fuck this bullshit.

How about an article that said 'jack shit will happen because $4 Trillion is a lot of fucking cabbage and no one wants to give it back to the taxpayers'...

Then I hope, if it happened, I would believe the article.

Jeez

ToSoft4Truth's picture

Hell yea.  I'll be able to shop at Whole Foods AND still work on my Trump property towel collection.

Davidduke2000's picture

I still promise girls I won't come in their mouth. enough with the promises especially from kikes. 

lester1's picture

Gary Cohn is a back stabbing piece of shit. I blame Trump for keeping him around.

FreeShitter's picture

Trump, like all good little puppets do as they are told by the banking cabal. The banking cabal thoroughly took over after Nov 22, 1963.

hxc's picture

More like Dec 23, 1913.

nevertheless's picture

Exactly, I am so sick of idiots giving Trump a pass, like he is just an innocent by stander, not the man who put all these Zionist Wall Street traitors into positions of power and influence. 

 

Trump comes from Jew York City, has been business partnered with the worst of the worst Zionist, America haters, and yet still, some think he is for America, unbelievable, and shows the power to control the narrative the Zionists have. 

Giant Meteor's picture

Trump and innocent, does not belong in the same sentence ..

And please future downvoters, don't take that as a slight, nor even hate ..

Just a statement of fact ..

Shortly after his election, I pointed out as delicately as possible, Trump, like many other's, had business with the Soros. It was not, how shall we say, clean business. But I voted for him, not because of, but in spite of this, just the same ..

Let's get this show, this train wreck on the road !

Go Trump !

nevertheless's picture

Exactly, I am so sick of idiots giving Trump a pass, like he is just an innocent by stander, not the man who put all these Zionist Wall Street traitors into positions of power and influence. 

 

Trump comes from Jew York City, has been business partnered with the worst of the worst Zionist, America haters, and yet still, some think he is for America, unbelievable, and shows the power to control the narrative the Zionists have. 

lester1's picture

Tax reform will NEVER happen without the border adjustment tax as a revenue source.

 

Democrats in the house will say NO because they hate Trump.

Tea party Republicans will say NO because it blows a giant hole in the budget deficit.

 

It's dead in the House of Representatives!

 

So without the BAT, tax reform is Dead !!

Fiat Burner's picture

The "market" has priced in this headline about 100 times now since Trump's election.  Amazing.

venturen's picture

let me guess..more loop holes for the mega wealth anad unlimited offshore trasfers for free

NickPeeMe's picture

U.S. Debt curve Spikes as Rich Cunt promises to make rich cunts even richer while piling debt onto the back of the peasants great great great great grand children. If humans make it that far. They won't.

J J Pettigrew's picture

Just remember this..

CENTRAL BANKERS have nice inflation adjusted pensions and the finest healthcare our government can provide.  They care not...they are INSULATED FROM ANY ILL EFFECTS of their actions.

Nice work if you can get it......but distant from the Madisonian promise (federalist 57) that we are essentially all in this together....WE ARE NOT.

nevertheless's picture

"tax reform", is likely just like "immigration reform", just an opportunity for the Zionist Jews to create new legislation that fucks Americans over, and furthers our destruction. 

Dutch1206's picture

Someone remind me again...what were the assumptions made when coming up with this tax plan?  3% GDP growth into perpetuity or some ridiculous shit like that.  

silverer's picture

A very sharp mathematician did a presentation on youtube showing what it would take to "dig out of the hole". Here's what he said it would take: 16 consecutive years of 8% GDP growth. So now you know where the US is really headed.

J J Pettigrew's picture

Is there a phone call to the Goldman trading desk before statements such as this?

Tulak's picture

ACS (american corporate socialism) ,banksters,WS and fucking rich will get break again and middle class will get middle finger!

Capitalists believe in private profits, public costs... They get the profits, the rest of us taxpayers get to pay the bills!

 

 

silverer's picture

There is no such thing as tax reform. There is such a thing as no taxes. We should opt for the latter.

Buddha 71's picture

mo of the same - mo afghanistan, mo trump blundering around acting like regan, dazed and confused, acting like he does not know what is happening - we fell for another fucking liar, who brought in all the lying clowns, who now fill the airwaves and eyeballs with the same old shit as from bush, clinton, obama - we got another lying clown as president. no change at all. 

robertocarlos's picture

Straight up zero percent tax rate with no deductions. That would be fair.

wide angle tree's picture

All these greedy pigs think they are going to get a bigger slice of the pie.

There is no more pie.

Defiated's picture

So now its TAX REFORM TIME...hmm

 

How's the 'scorecard' so far???

 

HEALTH REFORM.......FAIL!

INFRASTRUCTURE SPENDING.......FAIL!

JOB CREATION...........FAIL!

At least Trump's record will remain 'Perfect'!!!!

venturen's picture

Goldman drew up the plans 5 years ago

loub215's picture

retro to Jan 1 PUULLLEEASE!