That's a lot of money. They claim the forward p/e of the 500 companies that make up the S&P 500 is only 20 – based on growth expectations, tax breaks, etc. That would be $1 TRILLION in earnings for just 500 companies and the S&P 500 is about 1/3 of the total US Markets so $60Tn and $3Tn in earnings for our mighty US stocks is very nice.
Why then, do these companies pay just $341Bn in taxes? That's only 11%. Why is it the top priority of the Trump Administration to LOWER Corporate Tax Rates so they can pay less and you can pay more. Why are we providing stimulus to Corporations, why are we taking away their regulations when they are underpaying their taxes by 66%?
So congratulations to the S&P 500 at 2,300, crossing the $20Tn threshold – I guess the average American would be doing very well too – if they only paid an 11% tax break, got massive stimulus packages, 0% interest loans and were bailed out by the Government whenever they screwed up. Big Government is a bad, bad thing – unless it's your Sugar Daddy. Sorry kids, Uncle Sam already has 500 dependent children he's taking good care of, he can't be bothered with 320M of you!
Well, you can't fight the tide (believe me, we've tried) so you may as well join the party and BUYBUYBUY the companies that benefit from our Nation's Generosity and, best of all, if we hold them for a year – we only get taxed 20% on those gains (soon to be 15% again – thanks Uncle Donald).
What? You are not rich enough to invest in equities? Well, go away then – didn't you hear, we won the election – the country decided and now it's PARTY TIME for the Top 1%! Soon the Trump administration will begin selling roads and bridges and water systems to private companies who will "tax" the living crap out of you with tolls and fees so they can "recover their investment" in the roads…