On Tuesday, the stock market posted gains for a second straight day, with the S&P 500 rising 0.48%, the Dow increasing 0.20%, while the tech-heavy Nasdaq Composite gained 0.22%. However, the S&P 500 is still in the correction territory, down about 13% from its record highs. Furthermore, Wall Street is awaiting a widely expected 50 basis points rate hike this week by the Federal Reserve and further information regarding Fed’s aggressive monetary policy tightening. Tech stocks have suffered a massive sell-off this year due to the Fed’s pivot to a hawkish strategy to combat the rising inflation and the geopolitical issues.
Nevertheless, technology plays a crucial role in the digital era. Gartner predicts worldwide IT spending to rise 4% from 2021 to $4.4 trillion in 2022, and 65% of B2B sales organizations are expected to use technology to unite workflow, data and analytics. Moreover, the Technology Select Sector SPDR Fund (XLK) is still up 3.2% over the past year and has gained 1.4% over the past five days.
