You can't trust the guy

The market didn't make a big move on Friday on the news that Trump was going to be releasing his tax plan on Wednesday. The S&P 500 climbed about 5 points; USD/JPY rose 30 pips.

The reason is that the market wasn't buying it. Trump isn't going to release a 'plan' next week. It will be a few broad principles and maybe some guidelines. Really just a bit of headline fodder that may or may not be in the final version, if one is ever passed.

Here's the WSJ today:

Senior administration economic officials were caught off-guard by Mr. Trump's comments. White House aides and lawmakers have said the work is proceeding more slowly, with fundamental questions still unresolved about which taxes would be targeted and how rates would change.

Mick Mulvaney, Mr. Trump's budget director, said in an interview Friday-before Mr. Trump's remarks were publicized-that he didn't believe the administration would release a specific tax plan by the time it puts out its official budget at the end of May.

"You might see us floating some principles before then," Mr. Mulvaney said. "But in terms of a piece of paper you can look at and say, 'Here's our bill.' I don't think it will be ready by May."

Another official on Friday was cited saying the administration would only release broad priorities and principles.

So when Trump said 'plan' on Friday, the market knew he didn't really mean it.