Shares of technology companies fell sharply as an ongoing spike in Treasury yields spurred a rotation out of growth sectors.
The yield on the 10-year Treasury is often used to value future earnings for such sectors. The Select Sector Technology SPDR exchange-traded fund, which tracks the tech industry group of the S&P 500, fell by more than 2% and is now down by 15% for the year to date.
In another sign that tech bulls are pulling in their horns, the price of bitcoin teetered around the psychologically significant $40,000 level after testing the $50,000 level two weeks ago.
SailPoint Technologies shares soared after the cybersecurity company agreed to a $6.9 billion buyout from private-equity group Thoma Bravo, which will take ownership of the company for a second time.
Datto, another provider of cybersecurity products, agreed to a $6.2 billion buyout offer from IT management and security software firm Kaseya for $35.50 per share.
Shopify is asking investors to approve changes to its complex share structure to protect the voting power of the Canadian e-commerce technology provider's chief executive. The proposed 10-for-1 stock split would give Shopify Chief Executive Tobi Lutke 40% of the voting power.
Sungard Availability Services, an information-technology services provider, filed for chapter 11 protection for the second time in three years to grapple with falling demand for its business-recovery services and other lingering challenges exacerbated by the Covid-19 pandemic.
Tata Consultancy Services said its fourth-quarter net profit rose 7.4% from a year earlier, driven by strong revenue growth.
Write to Rob Curran at rob.curran@dowjones.com
(END) Dow Jones Newswires
04-11-22 1713ET
