Tax cuts were in the spotlight overnight following a Bloomberg report that planned reductions in the corporate tax rate would be gradually implemented. That plan would lower the corporate tax rate by three percentage points each year from the existing 35 percent beginning in 2018.
In response to the latest reports, Press Secretary Sarah Sanders said President Donald Trump’s position on corporate taxes had not changed.
Central banks were also in focus this week, with the Bank of Japan’s two-day meeting first to wrap up on Tuesday. Few surprises are expected from the event.
The Federal Open Market Committee will begin its own two-day meeting on Tuesday and is due to make its interest rates decision on Wednesday U.S. time.
Ahead, Trump is expected to announce his choice for the next chair of the Federal Reserve on Thursday. Most in the markets expect Trump to choose Fed Governor Jerome “Jay” Powell for the role. Other candidates that are in the running include Stanford economist John Taylor, current Fed Chair Janet Yellen and former Fed Governor Kevin Warsh.
