The Block Inc CDI (ASX: SQ2) share price is going gangbusters today. At the time of writing, it's up 10.87% at $158.45.
It has been two weeks since the fintech's shares were last (briefly) at this level.
Image source: Getty Images
What's going on with the Block share price?
Block shares are rising along with most of the S&P/ASX 200 Index (ASX: XJO). The ASX 200 is currently up by 1.19%.
Several ASX 200 financial and technology shares are currently surging higher including Pinnacle Investment Management Group Ltd (ASX: PNI), Zip Co Ltd (ASX: Z1P), Magellan Financial Group Ltd (ASX: MFG), and WiseTech Global Ltd (ASX: WTC). They are up 8.23%, 11.19%, 6.39%, and 5.53% respectively.
The US Federal Reserve has increased its interest rate by 25 basis points, the first increase in a few years.
Overnight, the US tech shares rallied after what some analysts called a "dovish" increase, according to reporting by the Australian Financial Review, rather than a 50 basis point increase which was being considered before the Russian invasion of Ukraine.
The US-listed Block Inc shares jumped by 12.6% overnight, so the ASX-listed Block shares are seeing a similar increase.
What's next?
The Block share price has gone up 6.8% over the past month despite all the volatility.
But broker Macquarie thinks that Block shares can rise a lot more. The Block share price target is $230, which is a potential rise of around 45% in the next year.
The broker thinks that Block can grow its average revenue per user (ARPU) as users utilise more of Block's overall offering.
