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Faang Stocks Step Back as Democrats Advance in Senate

Published 07/01/2021, 12:25 am
Updated 07/01/2021, 12:27 am
© Bloomberg. The logos for Facebook Inc., Amazon.com Inc., Netflix Inc. and Google, a unit of Alphabet Inc., sit on smartphone and tablet devices in this arranged photograph in London, U.K., on Monday, Aug. 20, 2018. The NYSE FANG+ Index is an equal-dollar weighted index designed to represent a segment of the technology and consumer discretionary sectors consisting of highly-traded growth stocks of technology and tech-enabled companies. Photographer: Jason Alden/Bloomberg
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(Bloomberg) -- The Faang megacap stocks fell premarket Wednesday after Democrats won}} one of two seats in Georgia that they need to take control of the U.S. Senate. The other race remains too close to call.

A blue sweep of Georgia that puts the Senate in Democratic control would be a “clear negative” for big tech, Wedbush analyst Daniel Ives said, raising the potential for greater antitrust regulations in the sector.

Facebook Inc (NASDAQ:FB). shares dropped 2.4% premarket, while Amazon.com Inc (NASDAQ:AMZN)., Apple Inc (NASDAQ:AAPL)., Netflix Inc (NASDAQ:NFLX)., Alphabet (NASDAQ:GOOGL) Inc. and Microsoft Corp (NASDAQ:MSFT). fell less than 2%. Nasdaq 100 futures fell 1.4% while S&P 500 futures were trading lower by 0.3%.

“We would expect much more scrutiny and sharper teeth around Faang names with potential (although still a low risk) legislative changes to current antitrust laws now on the table,” Ives said.

(Adds {{20|Nasdaq 100 futures, chart; updates share moves.)

©2021 Bloomberg L.P.

© Bloomberg. The logos for Facebook Inc., Amazon.com Inc., Netflix Inc. and Google, a unit of Alphabet Inc., sit on smartphone and tablet devices in this arranged photograph in London, U.K., on Monday, Aug. 20, 2018. The NYSE FANG+ Index is an equal-dollar weighted index designed to represent a segment of the technology and consumer discretionary sectors consisting of highly-traded growth stocks of technology and tech-enabled companies. Photographer: Jason Alden/Bloomberg

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