Turning point for technology sector

Over the past two years, investors in the technology sector have had a volatile ride. After rising 85.6% in 1999, the best-ever annual rise for Nasdaq, last year was its worst ever, with the Composite index falling by 39.3%. Despite strong earnings expectations for the first quarter of last year, pressure from rising interest rates eventually took their toll on valuations. As the excesses began to unwind, margin calls turned many private investors into forced sellers. As markets struggled to justify excessive valuations, one sector after another came under pressure. In the latter half of ...