stocks looking ahead

Best Month Ever for Russell 2000

Stocks have been on the rise since the late-October lows in prototypical market seasonality fashion, though NASDAQ has lagged a bit.

 

By Jeffrey Hirsch

image

Stocks have been on the rise since the late-October lows in prototypical market seasonality fashion, though NASDAQ(NYSEARCA:QQQ) has lagged a bit.

Honestly, NASDAQ tech stocks deserve a break, they have carried the market for months now as they have driven and supported the stay-at-home economy. This rotation into the reopening-economy big cap stocks and the new highs in the Russell 2000 (NYSEARCA:IWM) small caps, which are more domestic-based firms, is encouraging.

The Russell 2000 index of small cap stocks is on a tear, up 20.5% for November alone and hitting a new all-time high in the process. DJIA is running a distant second for November, though up an impressive 13.4%. S&P 500’s 11.2% and NASDAQ’s 10.3% month-to-date gains are nothing to scoff at either. These are top-20 monthly percent gains of all time for DJIA and S&P 500(NYSEARCA:SPY) – 3rd best DJIA(NYSEARCA:DIA) November and #1 S&P November; and NASDAQ’s 31st best month and 4th best November. And last but surely not least, if these gains hold, it will be the Best Russell 2000 Month of all time.