The recent CPI report showed that inflation is finally cooling, raising expectations of slowing the Fed’s policy tightening. This buoyed the stock market. The tech sector in the S&P 500 surged 10% through Friday, posting its best weekly performance since April 2020. The tech-heavy Nasdaq Composite added 8.1% on a weekly basis as investors snapped up tech shares.
Although the tech downturn and layoffs have made headlines this year, analysts are still bullish on the sector. Tech demand is expected to retain its growth as businesses and workers move toward digitalization. Moreover, analysts believe that tech spending will rise in the near term.
