'No Way, Shape or Form' Tax Reform Done By August, Says Bob Doll

Despite President Trump’s push to pass tax reform by the end of 2017, one market expert says it won’t be the end of the world if the administration misses that deadline.

“The markets have responded to a better economy, but they’ve all responded to ‘we’re gonna get some tax cuts.’ So eventually it has to happen,” said Bob Doll, senior portfolio manager and chief equity strategist at Nuveen Asset Management. “I don’t think the world’s going to fall apart, but it’s got to be early next year. There’s still some thinking it’s going to be done in August. I think no way, shape or form.”

And while the Fed is expected to raise interest rates on Wednesday at the conclusion of its two-day policy meeting, Doll argued that the hike will not hurt stocks since the move is already priced-in.

“I would make the case the Fed is behind the curve,” he said. “And this is going to be the third time in a decade they’ve raised rates. The question is: What will they say and what will be the accelerated pace of rate rises from here. That could eventually be damaging to the stock market, but not yet.”