The tech sector's tentative rebound is being led by Apple's positive guidance, which has helped offset some of the broader market concerns, including declining iPhone sales and geopolitical challenges in China. Despite this, the recovery remains fragile, with uncertainties such as Nvidia's upcoming meeting with former President Trump adding to investor caution. The Nasdaq 100's performance this week reflects these jitters, particularly around DeepSeek, while European equities and value stocks are gaining traction as investors seek safer alternatives to the overvalued big tech stocks. This shift is evident in the better performance of the equal-weighted S&P 500 compared to its cap-weighted counterpart, highlighting a move towards broader market opportunities.
The SPDR Portfolio S&P 500 ETF (SPLG) has seen a modest increase, rising 0.74% to $71.69 as of 10:40 AM on Friday, January 31.