Here are some stocks that could benefit, according to analysts at U.S. brokerage BTIG, if U.S. lawmakers this week pass a bipartisan deal to raise the US$31.4-trillion debt ceiling, avoiding a potentially catastrophic default.
- An agreement to slash funding for the Internal Revenue Service by US$20-billion is expected to limit the IRS’ ability to develop an electronic tax filing system that would have competed with tax preparation software companies including Intuit Inc. (INTU-Q) and H & R Block Inc. (HRB-N).
- Companies in the U.S. defence complex -- such as those in the S&P 500 Aerospace & Defense index -- should receive a boost from the approximately 3-per-cent rise in defence spending next year and another 1-per-cent increase in financial year 2025 under the deal.
- Equitrans Midstream Corp. (ETRN-N), the developer of the Mountain Valley Pipeline that runs through West Virginia, is expected to benefit because the bill would grant the pipeline all necessary permits from federal authorities.
- * The package also reinstates student loan payments beginning this fall, which would increase demand for refinancings and help student loan originators, particularly SoFi Technologies Inc. (SOFI-Q) , BTIG said.
Be smart with your money. Get the latest investing insights delivered right to your inbox three times a week, with the Globe Investor newsletter. Sign up today.