分组1 - The 2017 corporate tax cuts have not resulted in significant long-term economic growth, and the measure has failed to pay for itself, leading to increased federal deficits [1][3] - The Tax Cuts and Jobs Act of 2017 reduced the corporate tax rate from 35% to 21%, resulting in a revenue loss of approximately $188 billion for the federal government in the previous year [2] - The Congressional Budget Office estimates that the recent corporate tax cut will increase the federal deficit by $77 billion this year [3] 分组2 - The benefits of the 2017 tax cuts have primarily flowed to the wealthy, with 56% of the gains going to company owners, 12% to executives, and 32% to high-paid workers, while low-paid workers received none [7] - The budget bill signed by Trump includes provisions allowing businesses to fully expense depreciable assets and research and development spending, which could lead to tax breaks of about $148 billion for companies in the S&P 500 [8][9] - Companies like AT&T and T-Mobile have projected significant tax savings from the budget bill, with AT&T expecting $6.5 billion to $8 billion in tax cuts over several years [9][10] 分组3 - Lockheed Martin anticipates tax benefits of $400 million to $600 million from the budget bill, while simultaneously increasing its stock dividend and authorizing $2 billion in stock buybacks [11] - The average effective corporate tax rate for large companies in the U.S. was just 16% in 2022, indicating that the U.S. collects less corporate tax revenue relative to its economy compared to other wealthy countries [13][14] - The distribution of economic benefits from tax cuts raises questions about who truly benefits, with corporations and their executives often gaining the most, while millions of Americans may struggle with healthcare affordability [15]

Another government shutdown threat is in the headlines. Our Market Sense team will take a look back at past shutdowns and the minimal impact they've had on the stock market. They'll also discuss other risks and opportunities coming out of Washington, and what they could mean for your investments: tariff uncertainty, immigration policy, and why the recent corporate tax cuts could create a market tailwind. Topics covered: • Government shutdown • Corporate tax cuts • Tariffs • Immigration 00:00: Market Sense I ...

Economic Indicators - The JOLTS report is expected to show steady job openings at 7.7 million, indicating a healthy jobs market despite some cooling [2] - Private-sector payrolls are projected to increase by over 40K month over month to 120K, while non-farm payrolls are expected to decrease to 128K from 151K [2] - Initial and Continuing Jobless Claims have remained stable, suggesting a well-off labor market, but there are concerns about potential increases due to layoffs and immigration policies [3] Trade Policies - President Trump announced that trade tariffs will begin on April 2nd for "all countries," contrary to earlier expectations that only countries with trade imbalances would be affected [4] - The implementation of tariffs is seen as a strategy to fund corporate tax cuts [4] Market Performance - The Nasdaq index has declined nearly 15% from its highs 5.5 weeks ago, with the small-cap Russell 2000 down over 19% [5] - The Dow, S&P 500, and Nasdaq are all experiencing significant declines, with the Dow down 267 points, S&P 500 down 51 points, and Nasdaq down 238 points [5] Earnings Reports - Notable companies reporting earnings this week include PVH, RH, and Guess?, with Delta Air Lines and major banks like JPMorgan and Wells Fargo set to report later [7]

Core Viewpoint - Eli Lilly plans to invest $27 billion to construct four new manufacturing plants in the United States, responding to potential drug import duties from the Trump administration [1][4]. Investment and Job Creation - The investment is expected to create 3,000 high-skilled positions and approximately 10,000 construction jobs [2]. - The new manufacturing sites will be announced later this year and are anticipated to be operational within five years [3]. Industry Context and Government Relations - This investment aligns with the Trump administration's push for revitalizing American manufacturing, following a $500 billion investment announcement by Apple [3]. - Eli Lilly's CEO emphasized the need for the extension or improvement of corporate tax cuts to support the investment, highlighting that the company had not built a new site in the US for over 40 years prior to the first set of tax cuts [4]. Market Response and Stock Performance - Shares of Eli Lilly rose by approximately 0.5% to $906.70, with the stock increasing over 16% since the beginning of the year [7]. Supply Chain Considerations - A significant portion of the pharmaceutical industry's supply chain relies on overseas production, particularly from countries like Ireland, Switzerland, and China for active pharmaceutical ingredients [7][10]. - Indian firms also play a crucial role in producing lower-cost generic medications [8]. Ongoing Negotiations - Eli Lilly is currently negotiating with multiple states regarding the placement of its new manufacturing facilities and is open to additional proposals until mid-March [12]. Previous Investments - This commitment follows a $23 billion investment in US operations from 2020 to 2024, which included new manufacturing sites in Wisconsin and North Carolina, as well as expansions in Indiana [13].