The official line from U.S.-based multinational corporations is that if they get a huge tax break, they’ll bring home the trillions of dollars in profits they’ve stashed overseas and use it to hire tons of Americans. (Nearly 3 million, says the U.S. Chamber of Commerce!)
But now that Donald Trump’s election means it might really happen, corporate executives are telling Wall Street analysts what they’ll actually use that money for: enriching their shareholders and buying other companies.
The Intercept’s examination of dozens of earnings calls and investor conference talks since Trump won the presidential election finds that many executives are telling analysts at large banks that they are eager to take the money to increase dividends and stock buybacks as well as snap up competitors. They demonstrate considerably less if any enthusiasm for going on a domestic hiring spree....

Experts made it clear they expect the same to happen at other companies. In a discussion at a New York conference hosted by Goldman Sachs about the “optimism” generated in the business world by Trump’s election, Mike Selfridge of First Republic Bank explained that the “almost $2.5 trillion of cash for corporations that have cash overseas, if that were to come back about 60 percent of that would go in the coffers of companies located within our urban coastal markets. … That would perhaps be positive for things like M&A, maybe some dividends or stock buybacks.” He did not mention anything about jobs with the possible exception of “wealth management opportunities.”

12--Congress grovels before the CIA as it escalates “Russian hacking” hysteria

The material released by WikiLeaks exposed two major facets of the 2016 presidential campaign: the deliberate sabotage of the Bernie Sanders campaign by the DNC leadership, which put its thumb on the scale in favor of Clinton; and the abject subordination of Clinton to the financial aristocracy, documented in the transcripts of her speeches to Goldman Sachs and other Wall Street firms....

The intelligence agencies, by contrast, are proven liars. No senator challenged the veracity of the panel of witnesses, who were headed by retired general James Clapper, the director of national intelligence. By rights, Clapper should have been jailed for perjury after his sworn testimony before Congress in March 2013. Asked point-blank, “Does the NSA collect any type of data at all on millions or hundreds of millions of Americans?” Clapper responded with the flat denial, “No, sir.” Three months later, Edward Snowden revealed that the NSA has hundreds of programs to collect the telecommunications and Internet activities not only of every American, but of every human being on the planet.

The public, bipartisan display of support for the “intelligence community” is aimed at delegitimizing any opposition to the numberless crimes committed by the US military-intelligence apparatus against the population of the world, including the American people, on a daily basis.

The CIA is an organization dripping with blood, detested by hundreds of millions around the world, including in the United States, as the instigator of countless coups, massacres, assassinations and wars. From Iran in 1953 and Guatemala in 1954, to Indonesia in 1965 and Chile in 1973, to the bloodbaths in Central America in the 1980s, to today’s mass repression in Egypt and drone warfare in a dozen countries, the CIA is a byword for criminality.

On Thursday, dozens of US senators prostrated themselves before the intelligence agencies. Some 40 years before, in a similar committee room, senators took sworn testimony about how the CIA had been running a “Murder Incorporated” in Latin America, Africa and Asia.....

Four decades ago, it was possible for the US ruling elite to conduct a limited “reform” of the CIA, which amounted to removing a few discredited officials and setting some limits on the agency’s operations—limits that were quickly breached in practice. Today, even such a largely cosmetic exercise is impossible. Instead, the intelligence agencies demand unquestioning loyalty, and the Democrats and the media salute.

13--Obamacare defenders extol health care overhaul as boon to corporate profits

14--Macy’s, Sears announce mass layoffs, hundreds of store closings across the US

15--Fed committed to raising rates and derailing recovery if wages rise under Trump

Trump has foreshadowed major cuts in corporate and personal income tax rates, a boost to infrastructure by providing large tax write-offs for construction firms while providing them with part ownership of completed projects to provide an income stream, deregulation of finance, energy and other key areas of the economy and a strident “America first” policy on trade.

As the minutes noted, in their discussion of economic forecasts “participants emphasized their considerable uncertainty about the timing, size and composition of any future fiscal and other economic policy initiatives as well as about how these policies may affect aggregate demand and supply.”

As if to underscore the lack of any clear perspective, the minutes continued: “Several participants pointed out that, depending on the mix of tax, spending, regulatory and other possible changes, economic growth might turn out to be faster or slower than they currently anticipated.”
The sum of this “wisdom” is that the US economy could go up, or it could go down.
At her press conference immediately following the meeting, Fed chairwoman Janet Yellen summed up the mood saying: “We’re operating under a cloud of uncertainty at the moment.” (this point underscores the fact that Obama followed the Fed's economic prescription to the "T", unwavering in his support for the Fed's neoliberal agenda which has kept growth slow, unemployment hig, wages stagnant and standards of living plunging)...

there was one significant caveat to this overall outlook. As the minutes record: “Some participants noted that if the labor market appeared to be tightening significantly more than expected, it might become necessary to adjust the Committee’s communications about the expected path of the federal funds rate, consistent with the possibility that a less gradual pace of increases would become appropriate.”
Translating this “bankers’ speak” into plain English, the Fed is looking to significantly increase interest rates and dampen any economic expansion if this brings about an increase in wages, which have been declining in real terms....

A rise in interest rates means a fall in bond prices (the two move in an inverse relationship to each other) and so investors who bought bonds when yields were in negative territory face significant losses as interest rates go up.

This week Bloomberg published an article based on research by Paul Schmelzing, a PhD candidate at Harvard University and a visiting scholar at the Bank of England, warning that if the bond market bubble bursts it will be worse than 1994, when global government bonds suffered their worst year on record.

According to Schmelzing’s research, the 2016 bull market in bonds was one of the “largest ever recorded” and the market was facing a “perfect storm” because of rising yields on longer-term bonds, monetary policy tightening and the possible return of inflation. It could lead to major losses on bond holdings, subpar growth in developed economies and balance sheet risks for banks.