Small-caps have had a really hard time this year.
Almost every Small-cap sector is down since the highs in late December. That was 2 months ago.
The day the US Dollar Index bottomed was the exact day that Small-caps stopped going up in price.
That was also the same day that the US 10yr Yield bottomed.
I don’t believe that was a coincidence.
You’re welcome to.
What I see is a group of stocks struggling to make any progress. It’s hard to underperform the Small-cap indexes, but somehow Financials found a way.
Here are Small-cap Financials, which are loaded up with regional bank stocks, rolling over and making new 4-month lows relative to the Small-cap 600 Index. [Read more…]