Investors willing to be part of the tech rally can bet on some top-ranked technology ETFs like Vanguard Information Technology ETF VGT, The Technology Select Sector SPDR Fund XLK, iShares U.S. Technology ETF IYW and First Trust NASDAQ-100-Technology Sector Index Fund QTEC.
There is no denying that the rising benchmark 10-year Treasury yields, which went up as high as above 1.9% after standing at 1.51% on Dec 31, led the market bloodbath. Growth sectors like the tech space have been feeling the pain of rising bond yields as the same decreases the relative value of future earnings, making the popular stocks seem overvalued. Tech companies also face hurdles in funding their growth and buying back stocks due to higher rates (per a CNBC article).
Meanwhile, technology has held a dominant position in the ongoing health crisis. Telemedicine and Digital Health received significant importance. Data management and storage have become integral aspects of healthcare in the present era. Thus, with the technological advancements in the healthcare sector and the rising adoption of healthcare IT solutions as well as advantages of cloud usage healthcare, the cloud computing market is on a growth trajectory.
The work-from-home model has bumped up sales of PCs, laptops and other kinds of computer peripherals. Certain other ‘new normal’ trends have also emerged amid the health crisis like work from home, increasing digital payments, growing video streaming and soaring video game sales.
The pandemic has been a blessing in disguise for the e-commerce industry as people are practicing social distancing and shopping online for all essentials, especially food items. The world is gradually moving toward digitization, increasing the dominance of technology in the financial sector. A Market Data Forecast (MDF) report also highlights the expanding opportunities in the global financial technology market, which is expected to see a CAGR of 23.4% between 2021 and 2026.
The video gaming industry continues to gain amid the health crisis as consumers spend generously, hitting record-breaking highs in 2021. Market experts are positive about the video gaming industry's strength in terms of solid sales growth despite tough year-over-year comparisons, highlighting the momentum in the space. Recently-released data from The NPD Group emphasizes that the video game industry, including packaged media, digital, consoles and accessories, witnessed robust sales in 2021, with people spending $60.4 billion in all, reflecting 8% growth year over year.
The video gaming industry continues to gain amid the health crisis as consumers spend generously, hitting record-breaking highs in 2021. Market experts are positive about the video gaming industry's strength in terms of solid sales growth despite tough year-over-year comparisons, highlighting the momentum in the space. Recently-released data from The NPD Group emphasizes that the video game industry, including packaged media, digital, consoles and accessories, witnessed robust sales in 2021, with people spending $60.4 billion in all, reflecting 8% growth year over year.
The semiconductor space received a good push from the ongoing COVID-19 pandemic as demand for consumer electronics like personal computers, laptops and smartphones shot up. Notably, the chip market has witnessed strength in the end markets like mobile phones, notebooks, servers, automotive, smart home, gaming, wearables and Wi-Fi access points, per an International Data Corporation (IDC) report.
The space has also seen accelerating demand with the growing usage of electronic vehicles along with the automobile sector becoming specifically advanced to include more electronic components in vehicles that rely on chips.
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