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Small caps are still riding high despite latest setback. But more trouble could lie ahead.

Economy MarketWatch By Frances Yue 16 May 2026 12:30 1 min read
Small caps are still riding high despite latest setback. But more trouble could lie ahead.

The small-cap Russell 2000 led U.S. stocks lower on Friday — yet it has outperformed all major indexes except the Nasdaq in 2026.

The small-cap Russell 2000 led U.S. stocks lower on Friday — yet it has outperformed all major indexes except the Nasdaq in 2026.

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