Russell 2000 Hits All-Time Highs Despite Health Care Underperformance

SMID indexes touched all-time high last week and the SMID movement since early February has reflected some broadening, note Citi analysts in their recent research report.

Scott T Chronert and Louis L Odette of Citi Research in their recent research note titled “SMID Cap Rap” point out the connection between credit spreads and shorter term Russell 2000 (INDEXRUSSELL:RUT) action for much of the current RUT rally since early February.

Russell 2000: New highs through rotation

The Citi analysts point out that the Russell 2000 (INDEXRUSSELL:RUT) was up 1.4% for the week, modestly outpacing the 1.2% growth witnessed in the S&P 500 (INDEXSP:.INX) and 0.8% growth clocked by Russell Mid Cap.

The Citi analysts point out that the SMID indexes extended their move since early...