US small-cap stocks underperform amidst high interest rates and inflation.
US small-cap stocks struggle amidst high interest rates and inflation, with the Russell 2000 rising only 0.4% year-to-date compared to the S&P 500's 7.5% growth. Small-cap companies' reliance on debt financing and consumer spending make them sensitive to interest rates. Experts suggest focusing on companies with fixed debt and low leverage to navigate the uncertain market.
May 03, 2024
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