How the Russell 2000 Is Beating the Nasdaq Right Now

Lucas and Luna break down the surprising divergence between the Nasdaq-100 and the Russell 2000, using live data from June 13, 2026. The S&P 500 is up 0.3% over five days, the Dow is up 0.8%, and the Russell 2000 has surged 3.1% while the Nasdaq has slipped 0.2%. Lucas explains why small-cap stocks are rallying—falling Treasury yields, the yield curve uninversion, and a rotation out of mega-cap tech. He cites the 10-year yield dropping from 4.55% to 4.45% and the 2-year yield falling to 4.05%, making smaller companies' debt cheaper. Luna questions whether this is a durable shift or just a short-term catch-up trade. Lucas digs into historical data on small-cap leadership after yield curve uninversions, referencing the 2019 playbook. He also touches on how the VIX at 17.68 and the VVIX at 93.82 suggest complacency about tail risks. The episode closes with a reflection on whether investors should rebalance toward small caps or stay patient. No ads—listener-supported at buy me a coffee dot com slash fexingo. #Russell2000 #Nasdaq #SmallCaps #YieldCurve #MarketRotation #TreasuryYields #VIX #VVIX #StockMarket #Investing #Divergence #S&P500 #DowJones #InterestRates #Finance #FexingoBusiness #BusinessPodcast #BearMarketPodcast Keep every episode free: buymeacoffee.com/fexingo