'The haggling will only intensify' - Wall Street's wary of the Republican tax plan
- Wall Street is wary of the Republican tax plan because of the concessions and compromise that will be necessary to pass it
- The economic impact is still expected to be positive, specifically for companies and their stock prices
- The plan's proposed mortgage-interest deduction isn't beneficial to new home owners, some analysts said
The Republican's massive tax plan is getting a cautious response from Wall Street. Analysts are wary about what it will take to get this passed and note that any concrete progress will require heavy concessions and compromise from all involved.
Analysts also noted a few provisions of the plan that aren't quite as appealing as they appear on the surface. Morgan Stanley in particular had such an issue with the plan's proposed mortgage-interest deduction - which has also drawn the ire of the National Association of Home Builders.
From an economic perspective, Wall Street is still bullish on what a corporate tax rate cut would do for both companies and the overall market. Both highly taxed US companies and multinational corporations with large overseas cash holdings rallied as traders bought assets expected to benefit most from a change in tax policy.
Without further ado, here's a roundup of Wall Street commentary on the tax plan: