How Small Caps Are Leading While Big Tech Sits Out

The Russell 2000 is up 6.2% in the last five days while the S&P 500 has gained just 2.1%. Lucas and Luna dig into what this small-cap outperformance really means in late May 2026. They explore who's buying, why the rally hasn't stalled, and how the yield curve's slight inversion is actually feeding the rotation out of mega-cap tech into beaten-down value. Lucas points to the three-month versus ten-year Treasury spread turning negative again as a subtle catalyst. Luna asks whether this is a genuine broadening of the market or just a temporary catch-up trade. They also discuss what the VIX at 16.98 says about complacency, and why the VIX of VIX dropping 5.6% suggests options traders aren't hedging for a pullback. A grounded, data-rich look at one of the year's most interesting market shifts. #Russell2000 #SmallCaps #S&P500 #VIX #YieldCurve #MarketRotation #ValueStocks #BigTech #TreasuryYields #BullMarket #Finance #Investing #StockMarket #EconomicData #LucasAndLuna #FexingoBusiness #BearMarketPodcast #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo