Sector Update: Tech Stocks Higher Late Afternoon

Tech stocks were higher late Wednesday afternoon, with the Technology Select Sector SPDR Fund (XLK) up 0.4% and the SPDR S&P Semiconductor ETF (XSD) gaining 2%.

The Philadelphia Semiconductor index rose 1%.

In corporate news, Direct Digital DRCT shares plunged 38% after it swung to a loss late Tuesday while reporting lower-than-expected Q4 sales. Roth MKM cut the company's price target to $19 from $27.50, while keeping the buy rating.

Amazon.com AMZN said Wednesday it has made an additional $2.75 billion investment in Anthropic, bringing its total investment to $4 billion. Amazon said the investment is for a minority ownership position in Anthropic. It is part of a collaboration between Amazon, Anthropic and Accenture ACN to advance generative artificial intelligence. Amazon shares rose 0.8% and Accenture was adding 1.5%.

Reddit RDDT shares dropped almost 10% as research investment firm Hedgeye Risk Management released a report calling the social media platform a "short idea."

nCino's NCNO shares jumped past 18% as Baird and Needham adjusted their price targets, following its Q4 results the day before.