Why does the State of the Union reply matter for markets?

It can shift investor sentiment by reframing policy risks. Remarks on a partial DHS shutdown or on healthcare costs may change how traders price regulation, spending, and margins. Short-term flows often rotate across healthcare, defence, and government contractor baskets as language signals compromise, confrontation, or new priorities.

What levels are most important on the S&P 500 right now?

Spot is 6,861.88. The 50-day average is 6,894.63 and the 200-day is 6,504.72. Bollinger bands sit near 6,805 and 7,020, with the midline at 6,912.59. RSI at 51.53 and ADX at 16.67 imply a range. Many traders watch these markers for entries, exits, and stop placement.

How should UK investors handle currency risk on US equities?

Sterling swings can add or subtract from US returns. If policy headlines lift US yields, the dollar may firm, hurting unhedged pound returns. Consider partial hedges during volatility, match hedge ratios to time horizons, and review costs. Diversify across sectors to reduce reliance on any single policy or currency driver.

Which sectors could benefit if DHS funding uncertainty clears?

Improved visibility can help defence, cybersecurity, border-tech, and government IT contractors that rely on federal budgets. Clarity typically supports order pipelines, receivables, and hiring plans. That can lift revenue confidence and multiples, although stock gains still depend on execution, backlog quality, and overall market risk appetite.

Law and Government

^GSPC Today, February 23: Spanberger SOTU Reply Puts DHS, Healthcare in Focus

ByDanny Kontos February 23, 2026

Abigail Spanberger State ofthe response is set to highlight affordability, healthcare, and immigration while a partial DHS shutdown continues. For GB investors with US equity exposure, the tone of her remarks may nudge investor sentiment, especially in healthcare and federally linked sectors. The S&P 500 (^GSPC) sits near record territory, so any policy hint on healthcare costs or DHS funding could move the needle. We link the speech context to levels, sector risks, and practical positioning for UK portfolios.