XLK is trading 1.6% up today as a larger-than-expected drop in June CPI data to 3.5% eases concerns over potential Fed rate hikes.
- The fund is rebounding from a sharp pullback on July 13, 2026, when investors reassessed high AI valuations amid rising Middle East tensions.
- Cooling inflation is providing a significant boost to long-duration growth sectors, particularly the semiconductor and mega-cap technology stocks that dominate the ETF.