Trump Not Making Market Predictions, Signals Further Tax Cuts

President-elect Donald Trump, after participating in the ceremonial ringing of the opening bell at the New York Stock Exchange on Thursday, cautiously refrained from advising investors to buy stocks as he prepares for his upcoming term. "I don’t want to get into a situation where they do and we have a dip or something, because that can always happen,” Trump told Jim Cramer on CNBC's "Squawk on the Street."

During his previous term, Trump frequently pointed to the stock market's performance as a measure of his administration's success. The S&P 500 experienced a significant increase, climbing nearly 68% and hitting record highs. This surge was partly fueled by corporate tax cuts implemented by his administration, alongside the Federal Reserve's strategy of keeping interest rates at near-historic lows to encourage inflation, which, in turn, supported higher stock prices.

While at the exchange, Trump discussed his plans to further reduce taxes, proposing incentives for domestic production. He outlined a tax strategy aimed at encouraging companies to manufacture within the United States, suggesting a reduction in the corporate tax rate from 21% to 15% for those who build and produce their goods domestically. This initiative, he indicated, would represent an unprecedented approach to tax policy, aiming to strengthen the U.S. manufacturing sector.

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Source: Investing.com