Lack of near term catalyst for tech stocks, says Truist's Keith Lerner

Sector Upgrades - The company has upgraded the industrials sector to overweight, indicating a positive outlook as it has recently broken out of a five-month trading range [2] - The materials sector has been upgraded from underweight to neutral, reflecting an anticipated uptick in the overall economy [4] Economic Outlook - The industrials sector is expected to benefit from an improved economic environment next year, with a focus on accelerated depreciation for corporations [3] - The materials sector has only increased by 7% this year, suggesting potential for further growth as economic conditions improve [4] Market Trends - There is a growing confidence among investors regarding increased consumer activity in the upcoming year, contributing to a market migration towards cyclical stocks [6] - Despite the positive sentiment, there is caution regarding the sustainability of the current trends until earnings upgrades are more evident [7] Technology Sector - The technology sector has faced pressure recently, with a noted 70% increase from its lows, which was double the S&P's performance [10] - There is an expectation that money will eventually return to the tech sector, although a clear near-term catalyst is currently lacking [11] Future Projections - The potential for high single-digit to low double-digit returns for the next year is suggested, contingent on the tech sector's participation [12] - Economic data in the coming week may influence market perceptions and the Federal Reserve's decisions [13]