The bear case

The Russell 2000 usually leads the SPX. This is because small businesses ramp up and grow faster when the economy is growing and are more likely to fail if the economy is in recession. This chart shows that in May the Russell began to underperform the SPX measuring from the beginning of the cycle.
Beyond Technical AnalysisIWMrtyRUSSELL 2000SPX (S&P 500 Index)SPDR S&P 500 ETF (SPY) Trend AnalysisURTY

Also on:

Related publications

Disclaimer