The tech sector has been driving major market gains, pushing the S&P 500 (^GSPC) and Nasdaq (^IXIC) to record highs this week. Oppenheimer chief investment strategist John Stoltzfus joins Morning Brief to analyze the rally and its momentum.

"We're all on the upgrade cycle because technology is deeply embedded in the lives of both business and consumers. It's not just about phones. It's people who have apps for airlines, newspapers, magazines, have recently gotten notice on older phones when they try to upgrade, 'sorry, your operating system needs to be upgraded,' and you find out your old phone or your old computer can't take it. It's time to get back to the electronics store," Stoltzfus explains.

The AI race has been a major catalyst for the tech industry, and Stoltzfus sees no signs of a slowdown: "It doesn't appear that technology in this AI story is approaching a level where it's going to stall. It looks like it's still morphing into other things, essentially, if you don't get onto a plateau, and that's sort of what happened in the tech bubble." As AI continues to push the sector to new heights, he expects to raise his year-end target for the S&P 500.

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This post was written by Melanie Riehl