President Donald Trump will try to pass tax reform and an infrastructure spending package at the same time this year, according to a report from Axios that's got Wall Street buzzing Tuesday.
The president wasn't expected to tackle infrastructure until next year, but now it appears he would like to pair it with tax reform in a splashy, bipartisan comeback from the health-care bill defeat, which has weighed on markets.
Wall Street is ready with plays for clients on how to invest in Trump's building plans, along with tax reform.
The administration "feels burned by the ultra conservative House Freedom Caucus and is ready to deal with Democrats. Dangling infrastructure spending is an obvious way to buy the support of potentially dozens of Dems, meaning he wouldn't have to bargain with the hardliners," Axios' Jonathan Swan wrote Monday.
The current House Republican tax reform plan proposes lowering the corporate tax rate to 20 percent from 35 percent, while Trump campaigned on a reduction to 15 percent.
JPMorgan strategist Dubravko Lakos-Bujas cited how a reduction in the corporate tax rate to 15 percent or 20 percent versus the current effective rate of about 25 percent could add $10 to $15 in earnings per share to the .
