On July 3, 2024, a trader worked on the trading floor of the New York Stock Exchange (NYSE) in New York City, United States.
Brendan McDermid | Reuters
The market also continues to shift toward small-cap stocks, Russell 2000 It rose 1.8% during Monday’s trading session. Tom Lee, head of research at Fundstrat Global Advisors, believes last week’s sharp gains in small-cap indexes signaled the start of a longer-term rotation. The Russell 2000 index rose 6% last week.
“The rebound in small-cap stocks that started last week will be bigger than the eight-week rally from October to December last year, with the Russell 2000 index up close to 30%,” he told CNBC.Ending bell: overtime”.
Li said small-cap stocks look relatively more oversold, with even lower valuations this time around.
“We think this change could last about 10 weeks and the decline could be as high as 40%,” he added, noting that June’s monthly decline consumer price index The reading gave a “green light” for small-cap stocks to rise.
Bank of America, Morgan Stanley, UnitedHealth and Charles Schwab Earnings are scheduled to be reported before the bell on Tuesday. Traders will also be watching the latest economic data, including June retail sales, import and export price indexes and May business inventories.
