From Nasdaq: 2024-11-15 14:00:00

The re-election of Donald Trump has led to record highs in technology and cryptocurrency markets, with NVIDIA and Bitcoin seeing significant surges. Tesla stock also soared due to Elon Musk’s support for Trump. The technology industry is bracing for potential policy shifts under Trump’s administration, including antitrust and AI regulation.

Under the Biden administration, antitrust measures targeted big players like Google, Amazon, and Apple, but Trump may take a more lenient approach. Ongoing cases against Big Tech, like Google, could be affected by potential changes in antitrust enforcement. Trump has expressed skepticism about breaking up Google, which could impact future regulatory actions.

Generative AI has gained relevance during Trump’s first term, with efforts to promote AI development through executive orders. Trump’s focus on AI research institutes and technical standards has boosted AI stocks and ETFs. Tech companies are seeking standardized regulation to avoid confusion, while Trump’s deregulation tendencies may lead to fewer restrictions on AI development.

Biden’s CHIPS Act, aimed at boosting domestic semiconductor production, may face scrutiny under Trump’s administration. Tariffs on imported chips to spur domestic production could impact tech products’ costs. Antitrust enforcement is expected to continue, with concerns about a potential global trade war with China affecting big tech companies like Apple and Tesla.

Investors in big tech stocks may consider technology-based ETFs like VanEck Semiconductor, First Trust Cloud Computing, iShares Expanded Tech Sector, and First Trust Dow Jones Internet ETF. These ETFs hold a Zacks Rank #1 (Strong Buy) and could benefit from the mixed-to-bullish scenario for big tech under Trump’s administration.



Read more at Nasdaq: What’s in Store for Big Tech ETFs in Trump 2.0?