Betting on ‘Ugly Ducklings’ for Big Wins

Not long ago, investors enjoyed a sense of certainty, believing that the big-tech trade would keep leading the market and expecting former President Donald Trump to win the upcoming election. However, things have changed. The market is shifting from tech-based momentum trades to the previously unpopular small caps. Investors who bet on the āTrump-tradeā now […]
Market Volatility: Why One Firm Raised Its S&P 500 Target

Good morning, especially if you have successfully managed to boot up your personal computer, because many around the globe have not. More on that later. Thursdayās emailed Need to Know newsletter contained an error: the Nasdaq Compositeās decline on Wednesday was the sharpest since mid-December 2022. While the market may feel turbulent, the S&P 500 […]
Treasury Market Volatility: What It Means for Stock Investors

An inverted Treasury yield curve is typically seen as a harbinger of recession, although the U.S. economy has held up so far. An inverted Treasury yield curve is often viewed as a signal of an impending recession. But does the curve’s return to normalcy signal an all-clear for the market? History suggests otherwise. According to […]
Tranquil Markets: How the Calm in U.S. Stocks Affects Your Investments

An unusually tranquil stretch for U.S. stocks is set for a milestone on Wednesday as the rally broadens beyond a few megacap names. If the S&P 500 avoids a significant selloff, it will mark 352 consecutive sessions without a 2% decline, the longest streak since February 2007. Todd Sohn, ETF and technical strategist at Strategas, […]
Bullish Surge Ahead: Options Traders Eye Small-Cap Stocks

The demand for bullish call options linked to the Russell 2000 has surged, significantly outpacing the demand for bearish puts. This surge is sending an encouraging message for small-cap investors. According to Mandy Xu, head of derivatives-market intelligence at Cboe Global Markets, the recent sessions have seen a notable increase in the demand for call […]
Why Small Caps Are the Top Investment Today

Futures suggest a positive start for equities, with the S&P 500 hovering near a record high. Despite recent calm, analysts sense a significant shift in stock-market sentiment. Greg Boutle of BNP Paribas notes last Thursday’s softer-than-expected consumer price index report and subsequent dip in Treasury yields spurred a major rally in underowned and overlooked market […]