Technology ETF (IYW) Hits New 52-Week High
For investors seeking momentum, iShares U.S. Technology ETF IYW is probably on radar. The fund just hit a 52-week high, and is up about 50% from its 52-week low price of $64.47/share.
But are more gains in store for this ETF? Let’s take a quick look at the fund and the near-term outlook on it to get a better idea on where it might be headed:
IYW in Focus
This ETF offers exposure to U.S. electronics, computer software and hardware, and informational technology. It charges investors 20 basis points in fees (see: all the Technology ETFs here).
Why the Move?
The technology corner of the broad U.S. stock market has been an area to watch lately given the Fed’s upbeat view over the economy that should fuel demand. Though the Fed has signaled two rate hikes by the end of 2023 amid higher inflation, it views inflation as temporary and maintained its interest rates near zero. Lower interest rates for at least more than a year will continue to boost demand for technology products and services, fueling growth in the sector.
More Gains Ahead?
Currently, IYW has a Zacks ETF Rank #2 (Buy) with a Medium risk outlook, suggesting continued outperformance in the months ahead. Further, many of the segments that make up this ETF have a strong Zacks Industry Rank. So, there is definitely some promise for those who want to ride this surging ETF a little further.
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iShares U.S. Technology ETF (IYW): ETF Research Reports
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