Technology Giants Drive the Nasdaq-100 to Another Record

There is nothing that can rain on the technology stocks’ parade. The FAANG elite circle, with the support of smaller tech enterprises, pulled the Nasdaq 100 to another sky high.

Apple rose by an unprecedented 5% rally, bringing S&P 500 and the Nasdaq along with the surge.

Similarly, the revamping manufacturing sector helped the stock market index surpass its forecasted August Manufacturing PMI of 51.9 to 53.6. This is the highest increase on record in 12 months.

The tech-heavy stock market index rose by 78 points to 11,555 on the stock trading close.

London-based analysts note that investors should expect exponential growth in the long-term, saying that the Nasdaq-100 index can reach 90,940 points in the next two decades. This value is eight times more than the index’s current threshold.

The forecast was released just in time as Apple hit its second trillion last week, only two years after it recorded its first. The per-share price skyrocketed to $467.77.

Analysts now consider the technology sector a haven. This was after they priorly considered it a highly volatile and risky choice in stock investing.

Tech Rally to Sustain

Aside from the Nasdaq stocks, the report also advised investors to venture inflation-protected assets, namely property, fine wine, art, gold, and cryptocurrency.

Among the future’s most significant tech sector performers in the forecast are vacation rental platform Airbnb, chip manufacturer Intel, and e-commerce leader Amazon Inc.

During the pandemic, technology stocks experienced sustained momentum. Due to soaring prices in the stock market, Apple and Tesla announced their stock-split offering would happen by the end of the month.

The Nasdaq-100 is the first stock index to break the ceiling after experiencing coronavirus plunge. In May, it erased all its year-to-date losses ahead of other Wall Street counterparts.

It is worth noting that not only the industry’s giants are reveling on the surge.

Smaller technology enterprises, especially those directly involved in cloud computing, now that work-from-home scheme is adopted, also follow an upward trend.

Similarly, the manufacturing sector’s revamp in recent months called for the help of data analytics again.

Businesses continue to invest in platform innovations, particularly on digitization. This is to gain a competitive advantage in a rougher competition environment induced by the pandemic.