S&P 500 Momentum surged 7.4% in May, driven by tech and AI, marking a historic performance run.

In May, the S&P 500 Momentum index gained 7.4%, its second-best monthly performance ever, fueled by strong tech and AI sector gains. This contributed to an eight-week winning streak for broader equities, supported by optimism over U.S.-Iran relations, lower oil prices, and strong corporate earnings. Momentum ETFs like SPMO, MTUM, and FDMO offer investors cost-efficient ways to tap into this trend, with FDMO adding mid-cap exposure for growth potential. Despite the strong run, historical data suggests pullbacks are possible but typically not severe enough to erase gains. High-beta ETFs also performed well, appealing to investors seeking higher volatility and potential returns.