Will Biden’s Tax Hike Scare Big Money Out of the Markets?

Biden’s capital gains tax proposal has sparked a lot of debate. Here’s what it means for you. [Turn Your Images On] [Will Biden’s Tax Hike Scare Big Money Out of the Markets?]( [Turn Your Images On] [Adam O'Dell, CMT, Chief Investment Strategist]( In 2012, Warren Buffett’s secretary made a splash in the tax code “fairness” debate when President Obama spoke of her in his State of the Union address. It seemed like an easy argument to make: A lowly wage-earning secretary shouldn’t pay a higher tax rate than her billionaire investor boss. Of course, those arguing against Obama’s point called “foul.” Nonetheless, this highlighted the larger debate over wealth and income inequality in the United States. Buffett is a hero of the capital class, and his secretary is of the labor class. Even now, the Biden administration’s proposal to hike the capital gains tax rate has renewed this fight between those who work for a living and those who invest. [Keep reading to find out what Biden’s capital gains tax means for you as an investor.]( Suggested Stories: [Momentum: The Centuries-Old Key to Beat Markets]( [Ride the Inflation Wave (Up or Down) With One Fund]( --------------------------------------------------------------- FROM OUR PARTNERS [He Picked Tesla in 2018. Here's What He's Recommending Now…]( [This video]( — never meant for the general public — involves a recent closed-door event in Washington D.C... And the SHOCKING prediction that came out of it, which could be the biggest profit opportunity of 2021. For reasons that immediately become clear when you [click here]( this video could be removed from the internet at any moment. In fact, it’s possible when you [click here to watch this video]( it will already be gone. [If you click here and CAN SEE the video, I strongly urge you to watch it immediately.]( --------------------------------------------------------------- Earnings Edge [Turn Your Images On] [Chad Shoop, CMT]( [Where 2 Post-IPO Stocks (COIN & VZIO) Will Head Next]( IPOs are red-hot, known to produce huge paydays for early investors. That’s true of one stock I cover today — Coinbase Global Inc. (Nasdaq: COIN). Its CEO’s net worth soared $20 billion. NBA superstar Kevin Durant made a 54-fold gain on the IPO, turning a $250,000 investment into $13.5 million. The other company I look at today is smart TV provider VIZIO Holding Corp. (NYSE: VZIO). This week, those two companies will report earnings for the first time since going public earlier this year. [And in my Earnings Edge, I show you why these stocks are headed in very different directions.]( --------------------------------------------------------------- FROM OUR PARTNERS [63 MILLION Factory Jobs … in America?]( Could America become the world’s No. 1 manufacturing power again? Sounds unbelievable, but one overlooked technology is making it possible. It’s going to create 63 million middle-class jobs … and a $100 TRILLION mega-economic boom, according to the World Economic Forum. It’s also going to create a new millionaire class of investors, thanks to one little-known stock at the forefront. [Click here for the full story.]( --------------------------------------------------------------- Chart of the Day [Turn Your Images On] [Michael Carr, CMT]( [$1.5T in Excess Savings Burns a Hole in American Pockets]( In early 2020, much of the economy shut down. The collapse in economic activity was unprecedented. Governments around the world, and especially in the United States, responded with massive levels of stimulus. Some stimulus programs were targeted and designed to help those in need. Others were less targeted and distributed money even to households that didn’t experience significant losses. Now, there are trillions of dollars in savings. You can see that in the chart below. [And that may be a good sign for the stock market going forward.]( Suggested Stories: [Global K-Shaped Recovery Threatens the U.S.]( [War Explains Why the COVID Response Will Spark Inflation]( --------------------------------------------------------------- 2017: Apple Inc.'s stock value exceeded the $500 billion mark. Privacy Policy The Money & Markets, P.O. Box 8378, Delray Beach, FL 33482. To ensure that you receive future issues of Money & Markets, please add info@mb.moneyandmarkets.com to your address book or [whitelist]( within your spam settings. 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