Big tech continues to surge

Rocketing equity markets are discounting a future in which economies will eventually return to some form of normalcy, brought on by greater fiscal stimulus and a successful vaccines rollout to curb the further spread of the virus.

These options are yet to happen, begging the question whether the benchmark Dow Jones is not overly optimistic as it continues to consolidate at the 30 000 level, hitting levels above 31 000 in the first week of trading after climbing 7% in 2020. Or the S&P 500 rising by 16% last year – and both overshadowed by the 43% rise in the tech-heavy Nasdaq.