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Small Cap Stocks Rise from the Ashes
October is often a scary month for investors and this October so far is sticking to the script. As has happened in recent weeks, a strong Friday rally buoyed investor hopes, but wasn’t enough to salvage the week as large company stocks shed another 1%.
One bright spot last week was the strong gains in small-company stocks which had heretofore been hammered. Small cap stock indexes rose over 2%. While one week does not a trend make, if small caps continue to rebound, it should bode well for stocks in general.