The Globe and Mail
Still dancing to mega tech’s beat, markets wary of tech tantrum
Apple’s $3 trillion market cap landmark underscores the influence Big Tech holds over U.S. stock indexes – but also the vulnerability of passive investors to any lurch lower of the leading lights of the sector.
Apple’s and a handful of other U.S.-based tech giants’ market cap and earnings power is so great it is difficult to imagine a, say 10%-15%, correction in mega-tech not exerting a significant drag on the S&P 500, and hard to see the index rising 10%-15% without these top stocks leading the charge.
Some of the numbers are startling.