By Alan Murray and David Meyer
November 8, 2018

Good morning.

You can consider health care and immigration off the table in Congress for the next two years. Democrats used the health care issue to win control of the House while President Trump pounded away on immigration to boost Republican representation in the Senate. Neither side is going to compromise on the issue that proved to be their most powerful political weapon. Investors in health care stocks saw that as good news, pushing United Health Group stock up 4.2%, Pfizer up 3.2% and Merck up 2.4%.

If the White House and Congress want to accomplish something in the next two years–besides endless investigations–that leaves infrastructure. Nancy Pelosi, poised to become Speaker, said she talked to President Trump Tuesday night “about how we could work together” and that “one of the issues that came up was…building infrastructure for America.” Senate Leader Mitch McConnell said he also spoke with Pelosi about infrastructure as an issue “where there could be a bipartisan agreement.” And the President, in an otherwise combative conversation with reporters, said “we have a lot of things in common (with Democrats) on infrastructure.”

Worth remembering that for all his bluster, President Trump sees himself first and foremost as a deal maker. And on this topic, there is a deal waiting to be made… although like the tax bill, it would likely be at the expense of the federal deficit.

More news below.

Alan Murray


You May Like