Jan 23, 2017

What to expect at the GOP policy retreat

J. Scott Applewhite / AP

Cowen analyst Chris Krueger sets the scene for this week's GOP policy retreat:

  • He sees Obamacare repeal being rolled into tax reform, incentivizing lawmakers to vote in favor of it. Krueger calls this process of merging two bills into one the legislative equivalent of William "Refrigerator" Perry.
  • Says Trump will be "super anxious" to put some points on the board, and infrastructure is something everyone largely agrees on. With the main focus on repealing and replacing Obamacare, Trump should have more wiggle room on infrastructure.
  • A bipartisan package of tax cuts and credits could be approved for the FY18 reconciliation process. It could also be a component of an infrastructure bill.

Go deeper

SoftBank to cut its stake to get T-Mobile's Sprint deal done

Illustration: Rebecca Zisser/Axios

T-Mobile and Sprint announced a revised merger agreement that will see SoftBank getting a smaller share of the combined company, while most shareholders will receive the previously agreed upon exchange rate. The companies said they hope to get the deal as early as April 1.

Why it matters: The amended deal reflects the decline in Sprint's business, while leaving most shareholders' stake intact and removing another hurdle to the deal's closure.

Trump indulges Wall Street with Milken pardon

Photo Illustration: Sarah Grillo/Axios. Photo: Chris Graythen/Getty Images

Donald Trump loves Wall Street shenanigans. Companies owned by him have declared bankruptcy six different times, and he was once sued alongside Mike Milken for participating in a scheme to artificially inflate junk-bond prices.

Driving the news: Trump pardoned Milken this week, with an official statement positively gushing over Milken's role in developing the wilder side of fixed-income capital markets.