These bellwether stocks have flashed a larger market signal of underlying economic strength
Recent momentum in small-cap stocks may indicate a broader market rally and a stronger economy, according to LPL Financial Chief Global Strategist Quincy Krosby.index, the analyst pointed to signs of improving market breadth, followed by indications of more participation from institutional investors.
That's as small-caps had been passed over earlier this year in the wake of regional bank failures in March, prompting a"Given that the Russell 2000 is heavily populated by banks, seeing the index gain support suggests we're finally moving beyond the worry that another bank-related headline is going to throw financial markets into a tailspin," she wrote in a note Wednesday.
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