U.S. stocks were higher in Wednesday morning trading, as Senate Majority Leader Mitch McConnell introduced a competing $2,000 stimulus check bill. McConnell’s bill that would combine increased direct payments with a repeal of the online liability protections known as Section 230 and the establishment of a commission to study voter fraud.
The stock market rally hit a roadblock Tuesday, reversing from record highs, as Senate Majority Leader Mitch McConnell blocked efforts to increase stimulus checks. Apple stock briefly hit a new buy point before reversing sharply lower.
Late Tuesday, McConnell introduced a competing bill that would increase the size of the payment checks to $2,000, repeal Section 230, and set up a commission to study election fraud. These are the three requests that President Donald Trump made as he signed the stimulus package over the weekend.
— Donald J. Trump (@realDonaldTrump) December 30, 2020
Earlier Tuesday evening, Treasury Secretary Steven Mnuchin tweeted that $600 stimulus payments would start going out Tuesday night. Paper checks will be mailed starting Wednesday. Meanwhile, the battle for $2,000 stimulus checks continues in the Senate.
MacDailyNews Take: Obviously, a $1,400 increase in individual stimulus payments bodes well for the economy (not so much for the U.S. national debt) as well as for makers of coveted products and services such as Apple, but it’s tied to other provisions that may make it a nonstarter.