After eight years of Obama’s Democrat-led White House, the pendulum is beginning to swing the other way.
Not only did Trump win the White House. Republicans also swept the Senate and the House of Representatives. This consolidation of control will clearly have wide-ranging ramifications for investors. Most of it hasn’t been properly digested yet.
The coming indigestion may be hard to swallow for some investors (particularly so if you’re a card-carrying Democrat).
To be sure, the party of Lincoln is eagerly awaiting the first meeting of the 115th Congress on January 3rd. There they will attempt to rebuke, and largely disassemble, eight years of President Obama’s legacy.
Here’s Hedgeye Potomac Chief Political Strategist JT Taylor’s GOP policy check-list.
- Tax Reform
- Supreme Court nomination
- Remove elements of Dodd Frank financial legislation
- Roll back a number of President Obama’s Executive Orders
- Repeal and replace the Affordable Care Act (better known as Obamacare)
It gets a little dicey from there.
Especially when it comes to anything that may add to the deficit, like a transportation/infrastructure bill, Taylor says. Keep an eye on a debt ceiling vote in March. That may be a critical acid test to gauge just how unified the GOP actually is, he says.