The $64,000 Question, Talking Heads & The Russell 2000 Index
The Money Wise guys kick off this week’s show with a look back at last week’s numbers from Wall Street. The Dow was up 0.3%, the S&P 500 was up 0.4, and the NASDAQ was up a slight 0.1%. YTD the Dow is up 2.2%, the S&P 500 is up 12%, and the NASDAQ is still taking the lead, with an increase of 26.7%. This week began with a Monday where we saw a bit of a sentiment shift from investors, with some undervalued areas like the Russell 2000 starting to be bought, along with some value stocks. This wider breadth fell back as the week went on, though, with sell-offs of both value and small-cap stocks. The Money Wise Guys explain that the $64,000 question is: When are we going to get the rest of the market to participate? They discuss whether next week’s Fed meeting will make a difference if they hit “pause” on rate hikes, and they consider what the next new set of quarterly earnings will mean for the markets, too.
A Primer on the Russell 2000 Index
Since the guys mention the Russell 2000 Index during this week’s show, it’s a great time to get back to basics and with a primer on what it is. The Russell 2000 Index is made up of small-cap U.S. stocks. Specifically, it’s the smallest 2,000 stocks in the Russell 3000 Index. The Russell 2000 Index is often considered a key economic indicator, and you’ll often find it cited alongside the three major indices. To learn more about the Russell 2000 Inxex, check out this informative piece from Bankrate and this detailed description from Seeking Alpha.
In the second hour, the Money Wise guys engage in an RIA vs. Broker discussion. You don’t want to miss the details! Tune in for the full discussion on your favorite podcast provider or at davidsoncap.com, where you can also learn more about the Money Wise guys or take advantage of a portfolio review and analysis with Davidson Capital Management.