The Fed “ripped the band-aid off” after hiking interest rates, and that’s a green light for investors to purchase tech stocks, according to a report by Markets Insider on Thursday.
- On a note, Wedbush analyst Dan Ives projected that the bottom is likely to buy more tech stocks this year as they are now oversold like in the past five years.
- That trend creates a good opportunity for investors to begin accumulating shares in different high-quality areas of the technology sector.
- Ives stated that they would be strongly buying cloud, software, chips, and stalwart tech stocks led by FAANG, with Apple the first choice.
- A larger portion of the selling in the tech sector was driven by expectations of higher interest rates and the possibility for economic disruptions related to Russia’s ongoing attack against Ukraine.
The Nasdaq 100 plunged to bear market territory for the first since the start of the pandemic on Monday, dropping more than 20% from its record high. DJI down -0.062%, S&P 500 up +0.066%