/biz/ - Business & Finance

>>19960336
Tech (think FAGMAN) makes up most of the growth the S&P has undergone right now, but that growth has been driven by sentiment or a very special set of circumstances (think Netflix and stay at home orders) that can only last so long. Tech is on a ledge. If the US gets into a real recession (which is likely) the tech bubble will pop and it will come down hard. Remember, the tech industry is a luxury driven industry. The justification for their prices right now was that corona would drive a short term boon, or leave them relatively unaffected, and not damage their long-term outlook. If a recession hits, tech will be hit the hardest and that will gut the market (not to mention the economy as billions, perhaps trillions, of dollars are in speculative tech plays).