What you need to know on Wall Street today
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To hear detractors of Republicans' tax bill tell it, the plan as written wouldn't actually boost economic activity. These skeptics think corporations will simply use the excess capital from tax cuts to buy back their own shares.
And that's not too far-fetched of an idea. After all, buybacks have swelled during the 8-1/2-year equity bull market, and stock gains have followed in spades.
But AQR Capital Management, the quantitative hedge fund that manages $208 billion, doesn't buy it. The firm thinks buybacks are misunderstood - and don't directly drive much share appreciation at all.
Elsewhere in investing news, BlackRock's $1.7 trillion bond chief says don't fear the Fed. And the bull market has plenty of "gas in the tank," according to Bank of America.
In deal news, shopping mall owner Westfield sold itself for $15.7 billion. And Disney and 21st Century Fox are climbing as a report says a deal for assets is coming Thursday.
In crypto news:
- Vanguard, the fund giant with nearly $5 trillion in assets, is using blockchain to underpin its mutual funds
- Ethereum soars above $600 after a group of big banks announce a new project on its blockchain
- Litecoin creator issues stern warning after the cryptocurrency doubles in a single day
- Paying taxes on bitcoin isn't nearly as hard as it sounds
- BlackRock exec on bitcoin: "We are seeing bubble-like valuations"
- People are putting their homes at risk to buy Bitcoin
- GOLDMAN SACHS: Bitcoin hasn't taken a bite out of demand for gold
- Here's what you need to know about the important cryptocurrencies not named bitcoin
Lastly, we drove the $120,000 Porsche 911 Carrera GTS to see if it was worth the price - here's the verdict.