Small Caps Surge in Stock Market, Small-caps on a winning streak

Small-cap stocks are making waves in the stock market, with the Russell 2000 index rising 1% on Tuesday, continuing its streak of gains. This surge comes after hitting its highest level since January 2022 the day before. If the index rises another 1% on Tuesday, it will mark the fifth time since 1979 that it has had a five-day streak of gains over 1%, according to Bespoke Investment Group.

Small-cap stocks have taken the lead from megacap technology shares in driving the bull market, fueled by hopes that interest rate cuts will expand the economic recovery to their benefit. This shift has attracted traders and investors looking for opportunities as the market landscape evolves.

The momentum in small-cap stocks highlights the dynamic nature of the stock market and the opportunities it presents for astute investors. Keep an eye on the small-cap sector as it continues to ride the wave of bullish sentiment.