Trump's tax burden may only have short -term advantages

The “large, beautiful” tax law of US President Donald Trump was adopted by the House of Representatives on Thursday and is led to the Senate for approval.

If the legislation eliminates this hurdle and becomes the law, it reduces “taxes for many people, it increases expenses, especially with regard to the defense,” said Jed Ellerbroek, portfolio manager at Argent Capital Management, in an interview with CNBC. Simply put, the economy will strengthen at short notice, added Ellerbroek.

However, the invoice will probably continue to saddle America with a higher budget deficit. Tax reductions mean lower incomePresent While increased defense spending means that more money flows out of the government coffers. It is a question of simple arithmetic: less income and more expenses.

Although the yields of the US treasure roads, which are essentially state debts, have slightly mitigated from their Wednesday spike, they are still at an increased level compared to the beginning of the year. This indicates that investors are not so safe that they give the white house money and therefore demand more security in the form of higher yields.

Investors are pursuing a waiting-and-lake approach on the stock exchange, with both the S&P 500 and the Dow Jones industrial average remain mostly unchanged after Trump's invoice has been passed.

There will be at least one piece of good news from Thursday. The Supreme Court of the United States emphasized that the members of the Federal Reserve could have protection from a president, which reduces the risk of another Trump administration through the soaked market melt.

US shares are mostly unchanged
On Thursday, the S&P 500 And Dow Jones Industrial Average mostly flat, while the Nasdaq Composite It added 0.28%when the US representative House of Trump passed the tax bill. Europe regional Stoxx 600 INDEX slipped by 0.64%. The long-term credit costs of the British government became higher, with the 30-year-old applies of 5.563%, the highest level since 1998.

The state treasury delivered slightly relieved
Overnight stateside that 30-year-old US state bond return Immersed to 5.044% after he has touched 5.161% – the highest since October 2023 – and the 10-year-old return fell to 4.535%and fell by almost 10 basis points from earlier. The sale in Treasury causes some market observers to rethink the status of American government bonds as a safe haven and to turn their money to other global assets.

Fed members may have protection against discharge
The Supreme Court of the United States emphasized on Thursday that members of the Federal Reserve Board would have special protection against the dismissal of a president. “The Federal Reserve is a uniquely structured, quasi-private unit that follows the different historical tradition of the first and second banking of the United States,” said the majority decision in a court case on Trump's dismissal of members of the Federal Authority.

Anthropic starts new AI models
Anthropic, the Amazon-Backed Openai -Rival published Claude 4 on Thursday, his latest models for artificial intelligence. The company said in a publication that the two models, Claude Opus 4 and Claude Sonnet 4, define a “new standard” in relation to AI agents. Claude Opus 4 is the “best coding model in the world” and, according to Anthropic, can work autonomously for almost seven -hour company day.

[PRO] A warning sign from the stock market
The markets stabilized on Thursday after the double sale in stocks and bonds, but an important corner of the stock market blinks a precaution on the economy, wrote Jesse Pound from CNBC Pro. Although it does not show that a recession is imminent, it is a memory that the way forward is still rocky.

Why make-in-india despite the US tariffs in China has no guaranteed success

While India has certainly come to an important, albeit the resulting hub for the electronic assembly, the way to a clear alternative to China, despite the US tariffs for Chinese goods, is not a guaranteed result.

“The supply chain and production takes a long time for these things to be determined,” said Nick McConway, head of Asia Ex -Japan Equity at Amundi Asset Management. “We saw this with Vietnam, who had to invest enormous investments in the infrastructure.”

“I think India is only in the early phase of the development of this type of manufacturing capacities that are confronted worldwide,” added McConway.

The fund manager also emphasized that labor costs in India can be low, but this does not mean that companies move their production base to India.