By Ketki Saxena
Investing.com – On the last trading day of the year, Canada's main stock index the S&P/TSX traded on a moderately positive note, although trading remained thin ahead of the new year.
The TSX will be closed for trading on the January 1st New Year Holiday.
The Canadian index remained on track for a third consecutive week in the green, and set for a nearly 8% yearly gain.
Canadian Tech Outperforms US; Major Economies
The tech index was the strongest performed this year, as markets bet on the Federal Reserve beginning to cut rates next year. Canadian tech stocks are set for a roughly 70% gain this year, outperforming US tech.
Tech stocks in the S&P 500 Index and the Nasdaq 100 meanwhile notched gains under 60%.
Canadian tech stocks also beat out other major markets, including in the UK, Germany, France, Japan, Korea, Australia and China.
CIBC (TSX:CM) World markets referred to Canadian tech’s yearly rise as the “the best performance globally among technology peers.”
Shopify (TSX:SHOP): Top Tech Stock
The top performing tech stocks in Canada included e-commerce company Shopify Inc, which saw shares climb roughly 112% in the year.
What’s next for Canadian Tech in 2024?
CIBC analysts led by Giorgia Anton note that, “Despite the tech sector’s strong year, a number of names within our coverage universe look relatively attractive from a valuation perspective, trading below five-year averages,”
The bank recommends companies including Kinaxis (TSX:KXS), Nuvei (TSX:NVEI), and Docebo (TSX:DCBO) and top picks.