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S&P/TSX composite falls, while tech focused U.S. stock markets also drop

by capitalizefinancial
May 5, 2021
in Sports
0
S&P/TSX composite falls, while tech focused U.S. stock markets also drop

Most North American stock markets fell after a good start to May as the technology sector came under pressure in the United States.

Several large U.S. tech giants were lower with Apple Inc. down 3.5 per cent amid a rotation away from growth areas of the market that did well during the pandemic lockdowns.

“People are becoming rather shy about the tech sector in general for the time being,” said Sid Mokhtari, executive director of institutional equity research at CIBC.

The tech sector also took a hit from Treasury Secretary Janet Yellen’s comments that interest rates may have to rise to prevent the economy from overheating. The sector tends to underperform amid concerns about rising rates.

The former Federal Reserve chairwoman’s comments carry weight, said Mokhtari.

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