Investors in large tech stocks are eyeing Georgia Senate race


Fears of increasing democratic gains in Georgia led to a fall in large tech stocks on Wednesday, raising fears that the industry’s major players may be tightening the rules.

Futures contracts were linked to the Tech-Heavy Nasdaq 100 index, with Democrats ready to flip both seats of the Peach States Senate by about 1.3 percent by 8:12 am – presumably giving them control of a chamber Who could help in the presidential election. Tech Titans and Increase in Corporate Taxes.

The Rev. Rafael Warnock defeated Republican Sen. Kelly Loeffler, and fellow Democrat John Osoff gave Sen. David Perdue a narrow edge in his very close-to-call race.

Shares in so-called FAANG Tech stocks – Facebook, Amazon, Apple, Netflix and Google Parent Alphabet – all fell ahead of Nasdaq in primate trading. Facebook was the biggest loser, down 2.4 percent to $ 264.40 by 8:19 in the morning

Dan Ives said, “With a Senate controlled by Democrats we would now expect a lot more scrutiny and sharper teeth around potentially FAGN names. (Although still less risky) legislative changes,” Dan Ives, a Tech said. Analyst at Vulbush Securities.

Lawmakers on both sides of the aisle have pressured large tech companies in recent years to use their power and size in squash competition.

Federal and state officials have brought antitrust resolutions against Google and Facebook in recent months. In addition, Biden has expressed support for repealing Section 230 of the Communications Decency Act, which protects social networks such as Twitter and Facebook from legal liability for the posts of their users.

But it may not be easy for Democrats to crack down on tech giants, as they will control Congress with such a small margin, according to David Bansen, chief investment officer of The Bahnsen Group. The victory of Warnock and Ospho would give Democrats and Republicans 50 Senate seats each, to serve as Democratic vice president-election Kamala Harris’ major vote-breaking vote.

“Democrats’ short leads in both the Senate and the House will make it harder than those who believe in passing tax hikes, enforcing regulation and implementing some unfriendly policies in some other market, to investors in the blue wave scenario. Worried about, ”said Bahsen.

“I suspect that the initial market reaction in the tech sector to the results of the Georgia Senate is more of a growth-in-value story rather than a technical regulation story, because the GOP arguably has more appetite for Silicon Valley regulation.”

With post wires

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