A rate-cutting cycle from the Federal Reserve may bode nicely for some know-how shares. Markets are gearing up for a long-awaited fee lower from the central financial institution Wednesday after greater than two years of aggressive mountain climbing to stem the unfold of sticky inflation. It should finish one of the aggressive intervals of tightening in current historical past. Tech shares have already skilled one other blowout 12 months as AI tailwinds present no indicators of dwindling, however the central financial institution’s easing may provide much more upside as earnings look poised to learn from decrease borrowing prices. The three months following a lower may additionally prop-up the tech-heavy Nasdaq Composite , which has tended to rally greater than 6% on common within the three months after the primary lower in a coverage cycle, based on knowledge from Canaccord Genuity. The index has jumped greater than 13.2% and 19%, respectively, six months and a 12 months after an preliminary lower, the agency famous. Yr up to now the index is up greater than 17%. To seek out the potential know-how winners on this cycle, CNBC screened for the median efficiency of S & P 500 data know-how members since 1984 within the three months following the primary Fed lower. Listed here are a few of the greatest winners and losers following a fee lower: Western Digital has rallied a median of 26.6 — the very best of the group — in such a situation. Shares of the chip storage firm have rallied practically 26% this 12 months, benefiting from ongoing AI advantages. Apple has been one other huge winner following a fee lower, rising a median of 16.2% previously. Shares of the know-how large have gained 12% this 12 months, regardless of a virtually 6% drop for the reason that begin of September. Earlier this month, Apple debuted its iPhone 16 mannequin, incorporating its long-awaited AI capabilities dubbed Apple Intelligence. Shares have pulled again as traders fear whether or not the brand new product options will likely be sufficient to woo customers to improve. AI chipmaking beneficiary Superior Micro Gadgets additionally has benefited on the heels of a hike, rallying a median of 11.4% previously. Shares of the competitor to AI chip chief Nvidia have risen lower than 2% to date this 12 months and completed Tuesday’s session practically 29% off its highs reached in early March. To make sure, not each know-how inventory is destined for upside within the face of a reducing cycle. Micron Know-how ‘s monitor report is the worst of the group. The inventory has fallen a median of practically 14% within the three months following an preliminary lower. Of late, Micron shares have benefited from heightened reminiscence wants fueled by AI pleasure. Shares are up about 3.5% 12 months up to now. The inventory sits greater than 42% off its highs. Different potential losers following a fee lower embody Analog Gadgets , Teradyne and IBM .