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Man walks by the New York Stock Exchange. Photo: Spencer Platt / Getty Images

Trump has touted that the recent tax code overhaul would prompt companies to use extra funds to hike up their employees’ paychecks. While some companies have announced plans like this, others are using much of the extra cash to invest in their own companies by buying back shares, NYT’s Matt Phillips reports.

Why it matters: That’s an investment back into the companies which will likely enhance their stock prices, but it is “most likely to worsen economic inequality because the benefits of stocks purchases flow disproportionately to the richest Americans,” Phillips writes. The bottom line is what companies do with their extra wiggle room will determine how successful the tax code overhaul is for Republicans.

  • The White House knows buybacks are more popular than wage investments now. “Right now we’re going to have an adjustment where you see probably more dividends and share buybacks than wage increases,” the head of White House’s Council of Economic Advisers, Keven Hassett said last week.

But, but, but:

  • Buybacks are a boon for the stock market. The fact that buybacks were coming down the pipeline helped the stock market recover from some its losses earlier this month, Phillips says.
  • The causality for the buybacks isn’t necessarily about the tax code overhaul. Some economists believe the recent uptick in buybacks is due to a decline in capital investments.

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  3. Vaccine: Florida requiring proof of residency to get vaccine — CDC extends interval between vaccine doses for exceptional cases.
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  5. Sports: 2021 Tokyo Olympics hang in the balance.
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Trump impeachment trial to start week of Feb. 8, Schumer says

Senate Majority Leader Chuck Schumer. Photo: The Washington Post via Getty

The Senate will begin former President Trump's impeachment trial the week of Feb. 8, Majority Leader Chuck Schumer announced Friday on the Senate floor.

The state of play: Schumer announced the schedule after reaching an agreement with Republicans. The House will transmit the article of impeachment against the former president late Monday.

7 hours ago - Health

CDC extends interval between COVID vaccine doses for exceptional cases

Photo: Joseph Prezioso/AFP via Getty

Patients can space out the two doses of the coronavirus vaccine by up to six weeks if it’s "not feasible" to follow the shorter recommended window, according to updated guidance from the Centers for Disease and Control and Prevention.

Driving the news: With the prospect of vaccine shortages and a low likelihood that supply will expand before April, the latest changes could provide a path to vaccinate more Americans — a top priority for President Biden.