US President Biden signs $1.0 trillion infrastructure bill into law

“US President Joe Biden signed into law a $1 trillion infrastructure bill at a White House ceremony on Monday that drew Democrats and Republicans who pushed the legislation through a deeply divided US Congress,” said Reuters during early Tuesday morning in Asia.

Key quotes

The bill had become a partisan lightning rod, with Republicans complaining that Democrats who control the House of Representatives delayed its passage to ensure party support for Biden's $1.75 trillion social policy and climate change legislation, which Republicans reject.

The New York Times offered details of the bill as follows:

• $73 billion for the electricity grid.
• $66 billion for rail.
• $65 billion for broadband.
• $47 billion for climate resiliency.
• $21 billion for environmental projects.
• $15 billion for removing lead service lines.
• $7.5 billion for electric vehicles.
• $2 billion for underserved rural areas.

Market reaction

Given the already known news, traders paid little heed to the official announcement. However, the same builds recent optimism in the market ahead of the key US Retail Sales data.

Read: US Retail Sales Preview: Win-win for the dollar? Three scenarios, only one dollar-negative