News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
Wall Street
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • The Federal Reserve rate decision is likely to sway the near-term outlook for the price of gold as the central bank appears to be on track to scale back monetary support. Get your weekly gold forecast from @DavidJSong here: https://www.dailyfx.com/forex/fundamental/forecast/weekly/CHF/2021/09/18/Gold-Price-Outlook-Hinges-on-Fed-Rate-Decision-Forward-Guidance.html https://t.co/dWWxtErjK0
  • Forex liquidity makes it easy for traders to sell and buy currencies without delay, and also creates tight spreads for favorable quotes. Low costs and large scope to various markets make it the most frequently traded market in the world. Learn more here: https://t.co/arxYmtQeUn https://t.co/4qxwiJsV1K
  • Forex quotes reflect the price of different currencies at any point in time. Since a trader’s profit or loss is determined by movements in price, it is essential to develop a sound understanding of how to read currency pairs. Learn how to read quotes here: https://t.co/CNtqrKWDBY https://t.co/stMPuq0VXR
  • A currency carry trade involves borrowing a low-yielding currency in order to buy a higher yielding currency in an attempt to profit from the interest rate differential. Find out if the carry trade suits your trading style here: https://t.co/7t4BzmLg8w https://t.co/v6RGICQvge
  • Get your snapshot update of the of top level exchanges and key index performance from around the globe here: https://t.co/d8Re5anlG5 https://t.co/rws9LHJV3E
  • RT @FxWestwater: Japanese Yen Forecast: JPY Crosses Eye BoJ, CPI as Haven Flows Bolster Yen Strength Link: https://www.dailyfx.com/forex/fundamental/forecast/weekly/jpy/2021/09/18/Japanese-Yen-Forecast-JPY-Crosses-Eye-BoJ-CPI-as-Haven-Flows-Bolster-Yen-Strength.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Westwater&utm_campaign=twr https:/…
  • Traders utilize varying time frames to speculate in the forex market. The two most common are long- and short-term-time frames which transmits through to trend and trigger charts. Learn more about time-frame analysis here: https://t.co/9S5tXIs3SX https://t.co/FVisZuTP6M
  • Stocks appear to be in a corrective phase but could get put to the test; levels and lines to watch in the days ahead. Get your weekly equities forecast from @PaulRobinsonFX here: https://t.co/H1BaTlIHjY https://t.co/zP3mjfslSD
  • Currency exchange rates are impacted by several factors. Are different world leaders a contributing factor? Find out here: https://t.co/4jsORznRTE https://t.co/Of1thU4zXw
  • Further your forex knowledge and gain insights from our expert analysts on AUD with our free guide, available today: https://t.co/p2FhEwym1E https://t.co/MjiYB85TSF
S&P 500 Outlook: Regulators Set Sights on Facebook and Google

S&P 500 Outlook: Regulators Set Sights on Facebook and Google

Peter Hanks, Strategist

S&P 500 Outlook Talking Points:

  • US regulators have expressed intentions to reduce power, monopolistic attributes, of FAANG group members Facebook and Google
  • The tech-names have offered meaningful contributions to the recent S&P 500 rebound which could be undone by regulatory scrutiny
  • Learn tips to trade breaking news with our Trade the News Trading Guide

S&P 500 Outlook: Regulators Set Sights on Facebook and Google

The S&P 500 could face trouble in the weeks ahead if US regulators look to pursue tighter restrictions on some of the tech industry’s biggest names. Support for regulatory action first gained steam last September when state attorneys met to discuss suspicions that conservative views were being suppressed on certain online platforms. In the discussions, officials argued the alleged issue was emblematic of a larger one, namely big-tech’s market power and handling of personal data, issues they could look to combat through aggressive antitrust action.

The companies most at risk - Alphabet’s Google and Facebook – have drawn criticism from both sides of the aisle. Democratic Senator Elizabeth Warren was recently supported by Republican Senator Ted Cruz upon the announcement of a sweeping legislative regulatory plan that will explore the idea of regulating big-tech companies as public utilities.

Learn the differences between the Dow Jones and the S&P 500

A similar idea was originally put forth by Stephen Bannon, President Trump’s former Chief Strategist. The rare bipartisan agreement could see legal action gain pace, particularly as politicians look to garner public support into election season. Such an outcome could pose a significant threat to Google and Facebook, two members of the FAANG group.

S&P 500 Price Chart: Daily Time Frame (January – March 2019) (Chart 1)

S&P 500 price chart and FAANG

The group of tech stocks has offered robust returns for the year-to-date as tech tries to recapture its former glory from mid-2018. At present, FAANG has returned roughly 15% in comparison to the S&P 500 which has climbed nearly 14% in the same span. Despite a disastrous performance last week, Facebook remains a pillar of strength in the group with an 18% return YTD.

View our Economic Calendar for big events scheduled in the week ahead.

Although the threat of antitrust action amounts to a significant risk for the tech-sector, adverse price action from the risk appears muted thus far. However, the threat could be weighing on a more determined drive higher, particularly for Facebook and Google.

Given the nature of Washington and lobbying power of the industry, the threat looks to remain an ancillary risk for the time being. That said, state attorneys will meet on March 26th at the American Bar Association’s spring meeting on antitrust. The FTC will also meet that week for a two-day hearing which has technological change, privacy and competition scheduled as major topics according to Bloomberg.

Together, the meetings could see regulators find actionable steps forward but immediate price action for the S&P 500 will arise from Wednesday’s FOMC rate decision. For live coverage of the rate decision, join John Kicklighter on Wednesday at 1:45 EST.

--Written by Peter Hanks, Junior Analyst for DailyFX.com

Contact and follow Peter on Twitter @PeterHanksFX

Read more: Dow Jones, S&P 500, FTSE 100 and DAX 30 Fundamental Forecast

DailyFX forecasts on a variety of currencies such as the US Dollar or the Euro are available from the DailyFX Trading Guides page. If you’re looking to improve your trading approach, check out Traits of Successful Traders. And if you’re looking for an introductory primer to the Forex market, check out our New to FX Guide.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES