“In Q1 2018, we saw the first quarterly outflows from this asset class since 2016, though the net outflow of $151m is not significant compared with the $88bn in Q4 inflows,” according to IHS Markit. “So far in Q2, the outflow trend has continued, but with the quarter being one week old that could easily reverse if the market is able to find its footing.”
Next week, seven of the top 10 components in XLK deliver earnings reports. Tech is expected to be a key driver of S&P 500 earnings growth this year.
For more information on the tech sector, visit our technology category.
Tom Lydon’s clients own shares of QQQ.