SPX: S&P 500 Gains 1.4% as Tech Stocks Power Up

Uplifting mood spreads across equities on Wednesday with tech shares taking the lead.

• US stock indexes rose broadly on Wednesday buoyed higher by easing banking concerns. The S&P 500 added 1.4% to its valuation with all of its 11 sectors closing the session in the green. Its two peers, the Dow Jones and the Nasdaq Composite, added 1% and 1.8%, respectively.
• Technology stocks were in the lead as investors jumped at the chance to scoop up discounted shares. Apple, Tesla, Microsoft, Netflix, and Facebook parent Meta all gained 1.9% or more. Wall Street also showed increased appetite to hold banking stocks as recent fears waned.
• Why were tech shares leading the rally? Technology, part of the growth-stocks category, benefits most from a brighter economic outlook. Investors are betting that these tech firms will generate alpha returns at some point in the future and that’s why their valuation is based on stellar future performance.