Riskiest stocks begin rotation with cuts in sight


The small-capitalisation Russell 2000 Index was up 12% in five sessions, something it hadn’t done since April 2020. — Bloomberg

NEW YORK: The most speculative corner of the stock market is soaring at a pace not seen since the pandemic as traders race to move up their rate-cut bets in a risk-on signal for the investment community.

The small-capitalisation Russell 2000 Index was up 12% in five sessions, something it hadn’t done since April 2020, while the S&P 500 Index gained just 1.6% over that time and the technology-heavy Nasdaq 100 Index was down 0.3%.

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