Small-Cap Stocks Have Crushed the S&P 500 Recently. Will the Trend Continue?

Over the past month, the Vanguard Russell 2000 ETF (NASDAQ: VTWO) has outperformed the Vanguard S&P 500 ETF (NYSEMKT: VOO) by nearly 10 percentage points. In this video, Fool.com contributor Lou Whiteman and I discuss why small caps have done well lately, and why we think this could be the very early stages of a long-term trend.

*Stock prices used were the morning prices of July 24, 2024. The video was published on July 25, 2024.

Lou Whiteman has no position in any of the stocks mentioned. Matt Frankel has positions in Vanguard Russell 2000 ETF and Vanguard S&P 500 ETF. The Motley Fool has positions in and recommends Vanguard S&P 500 ETF. The Motley Fool has a disclosure policy .

Matthew Frankel is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through their link they will earn some extra money that supports their channel. Their opinions remain their own and are unaffected by The Motley Fool.