Technology stocks on the rise on Wall Street

Technology stocks jumped to start the week on Wall Street.

Last week software companies and large companies developing artificial intelligence were under pressure. The rotation from technology investments to more traditional companies was reflected in the weekly development of stock indices. The industrial company index Dow Jones rose above 50,000 points for the first time on Friday.

“When the market sells off, as has happened in certain technology sectors, you often see sudden rises”, assesses Wells Fargon market strategist of the investment institute Sameer Samana for the news agency Bloomberg. According to him, time will tell if the rise is sustainable.

The broad S&P 500 stock index, which tracks large companies, rose 0.5 percent and the technology-focused Nasdaq gained 0.9 percent. The industrial company index Dow Jones remained on a gentle rise close to its closing level from Friday. The Russell 2000 stock index, which tracks small companies, advanced 0.7 percent.

Among the large technology companies, a social media company Meta strengthened by 2.4 percent, the software company Microsoft 3.1 percent and designing artificial intelligence chips Nvidia 2.5 percent.

Google’s parent company Alphabet increased by 0.5 percent.

The company is seeking $20 billion in loan money for its massive AI investments. According to the news agency Bloomberg, Alphabet is selling its bonds for the first time in Switzerland and Britain. In Britain, the company also plans to offer a bond with a length of one hundred years. According to Bloomberg, no technology company is tried something similar then the dotcom bubble at the turn of the millennium.

This week, the market’s attention is on statistical releases about the state of the US economy. On Wednesday, we will receive the employment report for January. The unemployment rate is expected to have remained stable at 4.4 percent.

On Friday, the CPI consumer price index for January will be published. It is expected to confirm that inflation has slowed from a year ago, albeit slowly.