S&P 500 sector implications of the surge in oil prices

12th March 2026

The relative resilience of the S&P 500’s ‘big-tech’ sectors since the US and Israel attacked Iran is a stark contrast to their underperformance when oil prices surged in 2022. It might reflect ‘degrossing’, following the recent struggles of software firms amid concerns that AI will eat their lunch. Whether it continues is also likely to depend more on attitudes towards AI than how the war evolves.

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