Still waiting for clarity on fiscal policy

The flurry of executive orders slowed to a crawl last week, suggesting that President Donald Trump and his administration have realised that there are limits on his ability to govern by diktat. If Trump wants to achieve anything of substance, it will require Congressional approval. The question now is whether the administration can successfully alter its approach and work together with Congress. It already appears that health care reform will be delayed for some considerable time because of the difficulties in developing a viable alternative. We are still more optimistic about the possibility of a significant reduction in income tax rates by mid-year, however, with Trump apparently set to unveil more details on fiscal policy in his speech to Congress on 28th February.