The S&P 500 has experienced its second-best start to a year in the past 25 years, fueling a sense of optimism among investors. However, this achievement has not been the main story of the year. In fact, the bellwether index’s year-to-date gains of 16% have been completely overshadowed by the tech sector’s domination. With AI hype driving the surge, it has become the best-performing sector in 2023, up by 31.5%.
That is a significant amount and actually represents the finest opening half of a year ever recorded by the sector as it has pulled away from the S&P 500 by the biggest gap over a six-month period since 1999.
Is tech set for further gains in the second half of the year? That remains to be seen although the segment is by no means the only game in town. There are other corners of the market that could provide opportunities for investors, and the analysts at Raymond James are…
