It’s very easy to construct negative sentiment around the tech sector. As investors are well aware, increasing quantitative tightening has spelled a massive downturn for the equity class.
Easy money is gone, drying up investor capital for highly valued tech stocks. The fact is that the harder liquidity is to come by, the less likely that capital is to flow into tech firms because they tend to lose money despite rapidly growing top-line revenue.
That’s largely what has happened through the first half of 2022: The tech wreck saw the Nasdaq Composite lose 33% through June 16. That date seems to mark an inflection point as the index has risen 9% since.
That suggests that quantitative tightening is fully priced in despite future expected rate hikes. What that means is that there are lots of tech shares currently worthy of your consideration. Like these…
This post originally appeared at InvestorPlace.