Senate Republicans garnered sufficient votes on Saturday morning to pass their major tax overhaul bill, dubbed the Tax Cuts and Jobs Act, and bank stocks can't get enough of it.
The TCJA reduces the corporate tax rate from 35% to 20%: a lower corporate tax rate could lead to better earnings (maybe 5-10% higher).
The tax bill is set to head to a conference committee where members of the House and Senate will unify their separate bills. The House could also vote to pass the Senate's version of the bill. GOP members are hoping to send the finalized bill to President Trump to sign by December 25.