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The Stock Market Just Did Something Not Seen Since the Year 2000. Here's What History Says Happens Next.


Stocks have produced some extremely strong returns during the current bull market. Since the S 500 reached a relative low in October 2022, the index has gone on to produce a total return of about 62% in less than two years. Those are some huge returns for investors.

But not every stock is participating equally in the current bull market. Small-cap stocks, for example, haven't fared nearly as well as their large-cap counterparts. The S 600, which measures the performance of about 600 profitable small-cap U.S. companies, has produced a total return of just 33% since the start of the bull market.

But the stock market just did something that suggests the tide may be turning. The dominance of large-cap stocks in the current rally could shift to small-cap stocks, and we saw an early glimpse of it in July.

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Source Fool.com

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