Software ETF Climbs Above Key Technical Level Despite AI Disruption Fears (IGV, SNOW, CRWD)

The iShares North American Tech-Software ETF (IGV) closed above its 200-day moving average on May 29, 2026, for the first time since Jan. 7, signaling a potential shift in long-term momentum despite lingering sector anxieties. The benchmark ETF has rebounded roughly 35% from its April 10 low, according to Yahoo Finance AlphaSpace data. The technical recovery was supported by strong earnings from Snowflake (SNOW). The data cloud company reported results significantly exceeding Wall Street forecasts and sharply raised its forward guidance, citing robust demand for its artificial intelligence products. Cybersecurity stocks also bolstered the sector's rally. Shares of CrowdStrike (CRWD) and Palo Alto Networks (PANW) gained as investors bet that increasingly powerful AI models will elevate enterprise security risks and drive higher demand. However, broader concerns persist that AI agents are making traditional software obsolete, with enterprise sales cycles slowing as clients delay purchasing decisions to evaluate new AI tools.