Big Tech Fuels S&P 500 Surge as AI Hype Ignites 2023 Stock Rebound
• S&P 500 gained nearly 25% in 2023, far exceeding expectations, led by Big Tech stocks • Feared recession did not materialize as inflation fell faster than expected without significant economic slowdown • Tech sector, especially “Magnificent Seven” companies, rebounded from 2022 losses on stable demand and enthusiasm about AI potential • Nvidia stock skyrocketed 230% as its chips were revealed to have powered ChatGPT, the viral AI chatbot • AI hype drove further tech gains, but business case is unclear; sector’s future tied to whether tech giants can capitalize on AI promise