Yesterday, shares in Macquarie Group Ltd. (ASX: MQG) rose 2.3%, National Australia Bank Ltd. (ASX: NAB) was up 0.5%, Westpac Banking Corp (ASX: WBC) saw gains of 0.6% and even the troubled Commonwealth Bank of Australia (ASX: CBA) enjoyed a lift of 0.4%.
This was after US President Trump announced his plans to cut tax, including a reduction of the corporation tax rate in the United States by 15% to 20%, at a gathering in Indianapolis, describing it as "the largest tax cut in our country's history".
"We want tax reform that is pro-growth, pro-jobs, pro-worker, pro-family, and, yes, tax reform that is pro-American," Mr Trump told reporters.
"These tax cuts are significant.
"There's never been tax cuts like what we're talking about."
But some have criticised Mr Trump's tax plan for being thin on details and lacking consideration of the country's budget deficit.
The United States' national debt is hovering at around $20 trillion and for some it is difficult to see how massive tax cuts, believed to be worth more than $5 trillion, could help to reduce that figure.
And the huge tax overhaul is yet to be turned into legislation which some say, in any event, will find it difficult to make it through Congress.
Mr Trump's own party remains divided and his tax plan has already been criticised for favouring the rich.
Despite a lack of substance, Mr Trump's announcement helped boost markets around the world.
And banks were among those to enjoy significant benefits.
With the possibility of US companies enjoying considerable boosts to profits, should Mr Trump's tax vision be realised, markets in the United States will respond favourably.
And that optimism reverberated in Australia.
The S&P/ASX 200 index closed on Thursday at 5670, up 6 points, and rising for the first time in three days.
Whether or not the optimism is justified is clearly yet to be seen.
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