- House and Senate negotiators reach agreement on a five-year highway bill that also would reauthorize the U.S. Export-Import Bank, which has been advocated by Boeing (NYSE:BA) and General Electric (NYSE:GE).
- The bill would be partly financed by use of Fed surplus funds and a cut in the dividends received by commercial banks that own the Fed, a step that is criticized by the American Bankers Association.
- "Dramatically reducing the dividend rate - without hearings, consultation with committees of jurisdiction, study or analysis of any kind whatsoever - is extremely bad public policy,” says ABA President Rob Nichols.
- The agreement dodges the larger issue of identifying a long-term source of revenue for the Highway Trust Fund, as the bill does not raise the $0.184/gallon federal gasoline tax.
- House Speaker Ryan predicts the bill will enjoy “good majority support” when it comes up for a full vote.
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