The stock market continues to experience extremely volatile trading. However, the three main benchmark indexes have recovered, somewhat, on investors’ optimism surrounding some strong fourth-quarter earnings reports of technology companies. According to UBS chief investment officer for the Americas, Solita Marcelli, “Tech results, in particular, have been encouraging, highlighted by healthy demand from both businesses and consumers.”
The technology industry thrived over the past two years, and for some high quality stocks the momentum should continue, given the increased adoption of cloud and service-based IT across almost every sector. Moreover, with hybrid work structures becoming the new norm, reliance on technology is rising. According to Statista, Tech budgets in the United States are expected to expand by 6.7% in 2022, with software spending expected to be especially strong compared to other tech categories.
