Headlines Apr 22

For wealthy Americans, Biden proposes a 39.6% capital gains tax. Biden plans to leave the 3.8% surtax, meaning capital gains tax could be as high as 43.4%. - US Indexes & US 10-Year Yields weaken.

Republican Infrastructure Counter-Offer comes to a total of $568 bln.

ECB Interest Rate Actual 0.00% (Forecast 0.00%, Previous 0.00%)

The ECB maintains the PEPP ceiling at €1.85 trillion until March 2022.

Biden is reported to be considering almost doubling the capital gains tax on the wealthy, sending US stocks down to their lowest level in five weeks.

The dollar increased.

The S&P 500 fell after a major news wire reported that for those earning $1 mln or more, the new top rate, coinciding with an existing surtax on investment income, means that federal tax rates for wealthy investors could be as high as 43.4%.

Some traders speculated that before any changes were made to catch the lower rate, some would sell their shares.

Equities swung back and forth during the day, owing to mixed economic results and revived fears that the pandemic was escalating.

The major groups within the S&P 500 dropped across the board, with material, oil, and technology stocks leading the way.

According to data, sales of previously owned homes in the US fell to a seven-month low in March,  while jobless claims fell unexpectedly last week.
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Bitcoin fell for the sixth time in seven days, widening losses since the plan for higher capital gains was revealed. If a cryptocurrency is held for longer than a year, investors already face capital gains tax being applied.