📊 Small-Cap Trends at Risk

Good Morning Investors,

Investors appear excited despite the uncertainty, with the S&P 500 encapsulating this bullish sentiment as it settles to lower numbers but records a weekly gain. However, there are also warnings of a potential Fed disappointment even in the event of a prospective September rate cut.

Utilities stocks remain a bright spot and are poised to accelerate this quarter, while investor confidence awaits potential signals from the forthcoming Fed meeting in Jackson Hole.

This juxtaposition of expanding enthusiasm and caution in the market highlights the importance for investors to balance optimism with due diligence as unforeseen factors could quickly stall or reverse current small-cap trends.

Matthias Schneider
Editor at Analytica Investor