Tech turnaround: ASX 200 tech shares surge higher on Friday

Today’s big turnaround will be welcome news to ASX tech investors.

| More on:
happy teenager using iPhone

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

S&P/ASX 200 Index (ASX: XJO) tech shares are enjoying a much-needed turnaround today.

At the time of writing tech shares are among the strongest performers, as witnessed by the 3.1% gain in the S&P/ASX All Technology Index (ASX: XTX), which includes companies outside of ASX 200 tech shares.

The ASX 200 itself is up 1.3% at this same time.

Why are tech stocks rebounding?

Tech shares look to be getting a lift from a late afternoon rally in the tech heavy Nasdaq yesterday (overnight Aussie time).

With barely an hour to go before the closing bell, the Nasdaq was down 2.2% for the day. Then investors piled in, seeing the index finish up a slender 0.1%.

After a tough year, these ASX 200 tech shares are leaping higher

WiseTech Global Ltd (ASX: WTC), like most every tech stock, has struggled this year amid fast rising inflation and interest rate hike expectations. That’s seen its share price tumble 34.5% year-to-date.

But today, the shareholders of the company which provides cloud-based software solutions for the logistics sector, can breathe easier, with shares up 2.3%.

Xero Limited (ASX: XRO), a business and accounting software provider, is also down 44.5% in 2022. But not today. At the time of writing, the Xero share price stands at $80.48, up 4.7%.

Leading the charge among ASX 200 tech shares is global payment systems giant Block Inc (ASX: SQ2). Block hasn’t been immune to the wider tech market rout, with shares down 37.1% since 4 January.

Today the Block share price is surging higher, up 12.1%.

The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Block, Inc., WiseTech Global, and Xero. The Motley Fool Australia has positions in and has recommended Block, Inc., WiseTech Global, and Xero. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Technology Shares

Three businesspeople leap high with the CBD in the background.
Technology Shares

Why is the PointsBet share price storming 13% higher today?

PointsBet's shares are jumping again on Thursday...

Read more »

a group of three young men sit on a sofa in a home environment with a bowl of popcorn and beer bottls in front of them cheering on one of their group as he looks excitedly at his phone as though he's just had some success on an online gambling app.
Technology Shares

Why is the BetMakers share price charging 7% higher today?

BetMakers shares are having a decent start to the day...

Read more »

A young man clasps his hand to his head with his eyes closed and a pained expression on his face as he clasps a laptop computer in front of him, seemingly learning of bad news or a poor investment.
Technology Shares

Here’s why the Electro Optic Systems share price collapsed 26% today

The defence contractor's shares did not win the battle today.

Read more »

A man yells as his virtual reality headset and earphones tumble to the floor.
Technology Shares

Here’s why ASX 200 tech shares are taking a beating on Wednesday

Global share markets are forecast to remain volatile until inflation is brought under control.

Read more »

A man yells as his virtual reality headset and earphones tumble to the floor.
Technology Shares

Why is the Altium share price down 5% today?

Altium shares are erasing most of their gains achieved this week.

Read more »

Technology Shares

Megaport share price slumps 5% despite takeover speculation

A takeover could be in the works with Megaport. So, why are shares down?

Read more »

A graphic showing a businessman running up a white upwards rising arrow symbolising the soaring Magellan share price today
Technology Shares

Why is the Weebit Nano share price charging 5% higher today?

Weebit Nano is progressing the development of its ReRAM technology.

Read more »

Two people work with a digital map of the world, planning their logistics on a global scale.
Technology Shares

Own Nearmap shares? Here’s how much cash the company has up its sleeves

This ASX tech share boasts a "very strong balance sheet".

Read more »