Mike Huckabee, the former governor of Arkansas, believes Biden’s American Families Plan has a $700 billion budget miscalculation that will impact Americans at every income level. The plan offers a combination of trillions in new government spending and taxes that the White House says will assist working-class families, improve early childhood education, and narrow America’s wealth gap. Officials estimated that the plan would cost $300 billion over the next 10 years, but recently, analysts from the University of Pennsylvania’s Wharton School of Business said that’s a “low-ball” number.
Fox Business/Fox Business Staff
Biden American Families Plan’s $700B mistake will cost Americans, Huckabee warns
Former Arkansas Gov. Mike Huckabee argued that President Biden’s spending plans and an apparent $700 billion budget miscalculation, according to the Penn Wharton budget model – will hurt Americans at every income level on FOX Business’ “Mornings with Maria.”
“It’s obvious that the smart people called in sick the day that this decision was made…There’s no such thing as the government giving away anything because whatever the government has, it has to take from the people who earned it in the first place. Government is not a producer. It’s a consumer. And the sooner people understand that basic fact of the economy, they’re better off. When people say, ‘Oh, they’re going to tax the big corporations, but Joe Biden’s not going to tax me because I don’t make $400,000 a year,’ they don’t get it. It’s real simple. When you raise the cost of doing business and you tax a corporation – corporations ultimately don’t pay tax. They collect the tax for the government and they send it in. But in order to make up for what they had to collect, they simply raise their prices or they cut their expenses. Some of the expenses they cut will be the jobs of the people who are sitting there with a smug look on their face saying, ‘Well, he’s not coming after me. Old Joe Biden isn’t.’ Yes, he is, because you ultimately will pay for it. It’ll cost more to buy a loaf of bread, a gallon of gas. It’ll cost more to buy a car, a house, or a board of lumber. And that’s where the cost goes up.”
Watch the full interview, here.
Yahoo Finance/Emily McCormick
Stock market news live updates: Stock futures rise after Dow hits all-time high
Stock futures traded higher Thursday morning, with the Nasdaq looking to end a losing streak as investors mulled concerns over inflation and higher rates that might drag on growth stocks.
Contracts on the Dow extended gains after the index hit record intraday and closing highs during the regular session Wednesday. Contracts on the Nasdaq rose, after the index fell 0.4% for its fourth straight day of losses – its longest losing streak since October.
So far in May, investors renewed a rotation away from technology and growth stocks, with valuations viewed as stretched especially as prospects for rising rates increase. And given the strong stock market rally over the past year, some have worried that easy positive catalysts for equities may be running out, with the economic recovery already well under way and a strong earnings season almost in the rearview mirror. Recent Bank of America data showed that institutional clients sold equities for a third week in a row last week, and hedge fund clients posted their largest outflows in over a month as equity sentiment nears euphoria.
Keep reading, here.
Reuters via CNBC/Sethuraman N R
Gold gains as dollar retreats; investors await U.S. data
Gold rose for a second straight session on Thursday after the dollar retreated, as investors awaited U.S. economic data to gauge the Federal Reserve’s strategy on monetary support going forward.
Spot gold gained 0.5% at $1,794.80 per ounce. U.S. gold futures rose 0.7% to $1,795.90.
“Market is pricing in a ‘more distant’ probability of a Fed rate hike after clarifications on Treasury Secretary Janet Yellen’s remarks,” said Quantitative Commodity Research Analyst Peter Fertig.
Yellen said on Tuesday she saw no inflation problem brewing, downplaying earlier comments that rate increases may be needed to stop the economy overheating.
“That has been supportive for gold, with yields on long-term government bonds declining again and the dollar weakening,” Fertig added.
Focus now shifts to Friday’s U.S. monthly jobs report, which is expected to show non-farm payrolls increased by 978,000 last month.
Continue reading, here.