US: Moderate GOP Reps Won't Back Reconcilliation Bill Including Medicaid Cuts

Apr-16 13:42

A dozen moderate House Republicans have issued a letter to GOP leadership warning they won’t back a reconciliation package that includes major cuts to Medicaid. The letter is the opening salvo in what is expected to be a bitter dispute between Republican moderates and deficit hawks over how deeply to cut government spending to fund President Donald Trump’s tax agenda. 

  • Punchbowl notes: “Remember, House Republicans’ reconciliation plan includes cutting $880 billion under the House Energy and Commerce Committee’s purview, much of which will likely have to come from Medicaid.”
  • The letter reads: “We support targeted reforms to improve program integrity, reduce improper payments, and modernize delivery systems to fix flaws in the program that divert resources away from children, seniors, individuals with disabilities, and pregnant women — those who the program was intended to help. However, we cannot and will not support a final reconciliation bill that includes any reduction in Medicaid coverage for vulnerable populations.”
  • Notus reports that the same fissures are evident in the upper chamber: "Senators have already been clear that they won’t tolerate those kinds of [Medicare] cuts. Even Sen. Josh Hawley wanted assurances from Trump that Medicaid wouldn’t be touched in the final product — a promise that other senators also wanted and contradicts concessions that Freedom Caucus members extracted from House leaders."

Historical bullets

EQUITY TECHS: E-MINI S&P: (M5) Oversold But Remains Bearish

Mar-17 13:40
  • RES 4: 5976.83 50-day EMA   
  • RES 3: 5864.25 Low Jan 13 and a recent breakout level  
  • RES 2: 5859.54 20-day EMA
  • RES 1: 5726.75 High Mar 12                   
  • PRICE: 5688.25 @ 13:29 GMT Mar 17  
  • SUP 1: 5559.75 Low Mar 13                 
  • SUP 2: 5483.50 2.00 proj of the Dec 6 ‘24 - Jan 13 - Feb 19 swing 
  • SUP 3: 5396.00 2.236 proj of the Dec 6 ‘24 - Jan 13 - Feb 19 swing
  • SUP 4: 5341.87 2.382 proj of the Dec 6 ‘24 - Jan 13 - Feb 19 swing          

The trend condition in S&P E-Minis remains bearish and fresh cycle lows last  week reinforced current conditions. Moving average studies are in a bear-mode set-up highlighting a dominant downtrend. Sights are on 5483.50, a Fibonacci projection. Note that the short-term trend condition is oversold, a corrective bounce would allow this set-up to unwind. Firm resistance to watch is 5976.83, the 50-day EMA.

MNI EXCLUSIVE: Fed SEP To Show 2 Or Fewer Cuts, Two-Sided Economy Risks

Mar-17 13:33

MNI reports on the outlook for the Fed's Summary of Economic Projections for March -- on MNI Policy MainWire now, for more details please contact sales@marketnews.com.

SPAIN AUCTION PREVIEW: On offer this week

Mar-17 13:33

Tesoro Publico has announced it will be looking to sell a combined E5.5-6.5bln of the following at its auction this Thursday, March 20:

  • the 0.50% Apr-30 Obli (ISIN: ES0000012F76)
  • the 3.15% Apr-35 Obli (ISIN: ES0000012O67)
  • the 3.45% Jul-43 Obli (ISIN: ES0000012K95)