Trump's Bull Market Could Cause VGT to Rise Another 20% in 30 Days

"VGT is a pure-play U.S. information technology sector index fund. The prospectus tracks the MSCI US Investable Market Index/Information Technology 25/50 benchmark, with 100% of assets allocated to U.S. tech. The expense ratio is 0.09%, which is essentially free in fund terms. There is no options overlay, no leverage, no clever derivative structure. You buy VGT and you own a market-cap weighted slice of large semiconductor, software, and hardware companies."

"The return engine is straightforward. Capital appreciation from the underlying holdings does almost all the work. Dividends exist but matter little. Which means VGT lives or dies on whether tech earnings keep compounding faster than the broader market and whether multiples hold. So far, both have happened."

"The macro backdrop is carrying the bull case. The Fed has held the funds rate at 3.75% since December, after cutting 50 basis points in late 2025. M2 money supply hit $22.69 trillion in March 2026, sitting at the 90.9th percentile historically. Liquidity is expanding while discount rates ease, which is the textbook environment for long-duration assets like growth tech."

"Volatility tells the same story. The VIX closed at around 17 this week, down from a peak above 31 in late March. That collapse from fear to complacency happened while geopolitical risk in Iran remaine"

VGT is a U.S. information technology sector index fund holding a market-cap weighted slice of large semiconductor, software, and hardware companies. The fund tracks the MSCI US Investable Market Index/Information Technology 25/50 benchmark with 100% of assets allocated to U.S. tech and charges a 0.09% expense ratio. Returns come primarily from capital appreciation of underlying holdings, with dividends playing a minor role. The fund’s performance depends on tech earnings compounding faster than the broader market and on valuation multiples remaining supported. The macro environment includes an unchanged Fed funds rate at 3.75%, expanding M2 money supply, and easing discount rates. Volatility has fallen, indicating reduced risk appetite.

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