The Trump administration's tax cuts, which kicked in at the start of 2018, did not seem to have a major effect on companies' plans for capital investment or hiring, according to a poll conducted by the National Association of Business Economics, reports Reuters.
Why it matters: The Trump administration predicted the tax cuts, which reduced the corporate tax rate to 21% from 35%, would stimulate business spending and job growth. Instead, 84% of corporate respondents said they had not changed their business plans due to the tax overhaul, compared to 81% in the organization's previous survey in October.
The Dow closed higher for the week on Friday for the fifth straight time. But rather than celebrate the market's remarkable bounce-back since its Christmas Eve nadir, investors have publicly focused on what has or could go horribly wrong.
What they're saying: "The idea that there will be a global recession, either this year or next, is now close to consensus," analysts at Fathom Consulting wrote in a note published after Friday's market close.
What to watch: The U.S. and China will hold another round of trade talks on Wednesday — this time in Washington. Vice Premier Liu He "may be bringing an offer of more significant structural concessions," says Bill Bishop of Sinocism, but don’t expect major breakthroughs.
