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The Numbers: The semiconductor industry has outperformed any other sector this year, gaining 30% in Q1 before falling this month to bring its annual gains to just over 20%. The Story: According to BTIG technical analyst Jonathan Krinsky, the technology industry, specifically the semiconductor sector, is likely to decline significantly soon. Zoom Out: Technology companies have been surprisingly strong this year, rising despite a high-interest environment. However, tech stocks typically fall when borrowing costs are high as they require extensive capital for R&D, which is made more costly when the price of lending rises. |
