Tech stocks propelled the Nasdaq Composite to a new high on Friday for the first time since July in a sharp turnaround after falling as much as 15 per cent during the summer.
The technology-heavy index rose 1.4 per cent to 18674.37, surpassing the previous intraday peak of 18671.07.
“Each time we panic, the market continues to rise. At some point you stop panicking,” said Luca Paolini, chief strategist at Pictet Asset Management.
Many analysts had predicted that falling interest rates would shift investors’ focus from big tech companies to more cyclical sectors and heavily-indebted groups.
But investors have scaled back their expectations of further US interest rate cuts since the Federal Reserve made its first cut since the pandemic in September.
This is a developing story
