It's a good day to be invested in the tech sector, with many of the market's favourite S&P/ASX 200 Index (ASX: XJO) technology shares posting notable gains.
It follows a strong overnight session on the tech-heavy Nasdaq Composite Index (NASDAQ: .IXIC) amid better-than-expected United States consumer confidence data.
Right now, the S&P/ASX 200 Information Technology Index (ASX: XIJ) is outperforming most other sectors, gaining 1.3%.
Meanwhile, the ASX 200 has lifted 0.52% to trade at 7,152.4 points.
Let's take a closer look at the ASX 200 tech shares having a ripper day on Thursday.
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What's going right for ASX 200 tech shares on Thursday?
The ASX 200 tech sector is in the green on Thursday, with shares in Novonix Ltd (ASX: NVX), WiseTech Global Ltd (ASX: WTC), and Xero Limited (ASX: XRO) among its leaders. Here's how they're performing right now:
- The Novonix share price has lifted 2.2% to trade at $1.61
- WiseTech stock has gained 1.28%, trading at $53.15
- Xero shares have also climbed today, currently up 1.8% to swap hands for $71.495 apiece
Other strong performers include Block Inc (ASX: SQ2) – up 1.55% – and BrainChip Holdings Ltd (ASX: BRN) – up 1%.
Their gains come on the back of a 1.5% gain posted by the Nasdaq Composite overnight.
The tech-heavy New York indices lifted amid news consumer confidence in the US was at an eight-month high in December after posting back-to-back losses in October and November.
That's good news for tech shares since they tend to be more growth-focused than their peers in other sectors. The better an economy's health, the more opportunities for growth exist.
Sadly, the sector's Thursday gains aren't enough to pull it back into the longer-term green. The ASX 200 tech sector has tumbled 34% so far this year amid soaring inflation and consecutive rate hikes.
Meanwhile, the broader ASX 200 has dropped 6%.
