The USD was boosted towards the latter stages of trading on Friday, following reports that the government is looking at tax cuts.
It is suggested that the Trump administration is considering a 10% tax cut for middle-class Americans and making some other tax reductions permanent as part of a package it intends to propose before the November election, according to a top White House adviser.
There were comments from National Economic Council Director Larry Kudlow, speaking in an interview with Fox Business Network, who said:
We’d love to have a 10% middle-class tax cut, and we would love to strengthen and make permanent some of the other tax cuts. It’ll probably come out some time in September
Back in 2017, the Trump administration’s signature legislative achievement saw a tax overhaul; a massive $1.5 trillion legislation reduced tax rates for corporations and individuals, but the personal income tax cuts were set to expire after 2025.
Rolling out a proposal in September could strengthen Trump’s hand ahead of the Nov. 3 presidential election.
One proposal the Trump administration is considering is creating tax incentives intended to encourage U.S. households to invest in the stock market, according to four senior administration officials.
What does this mean for USD?
Well, it is another factor for the USD to continue pushing north, despite the minor set back that was observed on softer retail sales and industrial production. Watch here!
There are many reasons for the USD to continue moving higher, recap our video from the article explaining Dollar bull action. Watch here!
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