Tech Sector Hits Record 39% of S&P 500 Market Cap, Exceeds Dot-Com Peak
The Information Technology sector now accounts for 39% of the S&P 500's total market cap, exceeding the Dot-Com bubble's 33% peak and the 1980s Energy sector high of ~31%.
According to data from The Kobeissi Letter, the Information Technology sector has reached a record 39% of the S&P 500's total market capitalization. This share has more than doubled since the 2020 pandemic and now surpasses the Dot-Com bubble peak of around 33% as well as the Energy sector's ~31% peak in the 1980s.
When including internet retailers and digital media platforms such as Amazon (AMZN) and Netflix (NFLX), the broader technology grouping accounts for a record 50% of the S&P 500's market value. By comparison, the same group represented only 29% at the Dot-Com bubble peak.
The data underscores the growing dominance of tech stocks in the U.S. equity market, with no other sector in history having reached such a large weighting.
Source: The Kobeissi Letter