Stocks have rallied huge since last October’s lows. Breadth, however, has been a problem. Large-caps are outperforming, and even here, just a handful are leading the way. Mid- and small-caps are lagging. Amidst this bifurcation, mid-caps have now rallied within … Continued
With the 4Q earnings season nearly over, large-caps were in the black last year, while mid- and small-caps were in the red. The latter two have underperformed the large-caps from Oct ’22 lows but are running neck and neck from … Continued
Investors increasingly are hiding in large-caps. The S&P 500 large cap index Monday reached a new all-time high, while the S&P 600 small cap index closed Tuesday 16 percent off its all-time high from last August. Stocks are rallying but … Continued
Stocks have rallied massively into 1Q earnings season. Estimates have been revised lower in a big way. The bar is low. But not valuation multiples. It is a decision time for longs to either hold or fold. US companies are … Continued
Even as passage of tax measures in Congress looks like a done deal, 2018 operating earnings estimates for S&P 600 small cap companies are yet to show signs of stability. Post-presidential election in November last year, U.S. small-caps outperformed – … Continued
U.S. stocks have gone 12 straight sessions without even a sliver of a bounce. About time for a reprieve? Between the December 29th intra-day high and January 15th low, the S&P 500 and Dow Industrials each lost 10.8 percent, the … Continued
In the latest reporting period, there was a big drop in short interest on IWM, the iShares Russell 2000 ETF. It dropped 10.1 percent period-over-period to 118 million shares – the lowest since the middle of August. Shorts had been … Continued
In markets, rarely does everything move in sync. Some jig, some jag. Some lead, some lag. That is the nature of the beast. But there is something called divergence, which, if it is so stark it is hard to miss, … Continued