>> Based on the vote we had last week, the stock market has been reacting unbelievably well.>> President Trump taking a victory lap Monday with the Republicans set to ram through tax cuts for businesses and the wealthy. Wall Street, all too happy to go along for the ride, stocks starting the week with more record highs.
Reuters's market correspondent Lewis Krauskopf pointing out that with a planned corporate tax rate cut to 20% from 35%, stock pickers are already naming winners.>> We're talking about banks, telecoms, some retailers, some transportation companies, and some healthcare service companies. They're gonna see a bigger earnings boost from lower taxes than other industry groups, cuz they are more exposed to sort of domestic US market than companies that are more exposed to overseas and have their rates adjusted otherwise, because of their overseas exposure.
>> Regional banks such as Zions, M&T, and ComericA, department store Macy's, Victoria's Secret parent Lbrands, along with telecom giants at&t and Verizon, are at the top of buyer's wishlists. Tech, however, is not.>> As a group, they are not seeing benefiting as much as other areas of the stock market from this tax reform package.
The other area is, the other reason is that tech has been a huge outperformer this year. So, you might be seeing investors rotate out of technology, taking those profits, and putting them into these areas of the economy that are expected to benefit from the tax reform package.>> A benefit investors can't wait to get their hands on in the form of higher corporate profits.