Congress gives Navy $5.7B for VA class labor costs, says TD Cowen

The House and Senate have agreed to a Continuing Resolution that funds the U.S. government through March 14 and provides $100B in emergency funding, and while the bill has drawn fire from the House Freedom Caucus, but it should pass, TD Cowen told investors earlier in a research note. The firm notes that Congress included Office of Management and Budget-requested anomalies for the Navy’s two key submarine programs, the Virginia-class attack submarine and the Columbia-class ballistic missile submarine, which TD Cowen views this as positive for these programs and General Dynamics (GD) and Huntington Ingalls (HII).