IWM Stock Recent News

To gain an edge, this is what you need to know today.

The world's biggest economy's growth accelerated in the second quarter, primarily driven by solid consumer spending and higher business investment despite high interest rates.

In recent weeks, investors started pouring significant money into small-cap stocks. The move came after years during which the Street shunned the names because it believed they were not attractive in an era of high interest rates.

Recent economic indicators are helping to make the case for small-cap investing. June's Consumer Price Index (CPI) report dropped by 0.1% for the month, marking the index's first drop since May 2020.

On this week's episode of ETF Prime, host Nate Geraci sat down with VettaFi Editor-in-Chief Lara Crigger to look at the recent rotation into small-cap stocks. Later, Geraci welcomes Bitwise Asset Management CIO Matt Hougan to discuss the investment case for the newly launched spot ether ETFs.

Small-cap stocks moved higher early Tuesday. The Russell 2000 was recently up nearly 1%, outperforming the S&P 500 in morning action.

ETFs across various categories pulled in $49.4 billion in capital last week, pushing the year-to-date inflows to $406.3 billion.

The Russell 2000 small-cap index is up 7.4% in July alone, outpacing the S&P 500. Investors are bullish on the smaller end of the market because interest rates appear likely to fall over the next few months.

Stanley Druckenmiller bought shares of Nvidia before its epic run, but has since reduced his stake and invested in small-cap stocks. There's data to show that small-cap stocks are generally undervalued, but they've quickly shot up in the last month.

ETFs across various categories pulled in $35.8 billion in capital last week, pushing the year-to-date inflows to $406.3 billion.