'Just buying, buying, buying’: What the recent small-cap boom suggests about the appetite for risk
Publishing timestamp: 2024-07-20 11:00:01
Summary
Money flow into small caps may not be rotation from winning growth trades, but rather a diversification trade as investors look to broaden their exposure in an election year. While small caps have been outperforming large caps recently, it is still uncertain if this trend will continue. Interest rate cuts are seen as a catalyst for strength in sector laggards, but investors are not expected to pull out of money market accounts in a big wave.
Sentiment: NEUTRAL
Tickers: .IXIC, .RUT, .DJI, .SPX,
Keywords: united states presidential election, u.s. treasury bonds, monetary policy, joe biden, us dollar, individual retirement accounts, personal investing, economy, stock markets, investment strategy, dow jones industrial average, corporate bonds, wall street, interest rates, corporate stock, federal reserve system, exchange-traded funds, fiscal policy, u.s. dollar, markets, s&p 500 index, russell 2000 index, donald trump, business news, inflation, nasdaq composite,