Tech has only marched halfway upWhile technology stocks have enjoyed a strong rally since the stock market nadir at end-2008, it is perhaps surprising to note that they have only recovered 50% of the ground lost during the 2000-2003 tech bust.
Improving Capital Spending Trends Are a HelpThe technology sector is particularly geared to macro investment trends, as companies tend to favour technology-related investments in good economic times as they tend to bear quick-to-emerge and sizeable fruit in the form of productivity, boosting profitability. Guess what? US durable goods orders have recovered steadily over last year, pointing to improving corporate investment trends that should benefit tech stocks.
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