Small-Cap Market Outlook

The R2000 gained 2.7% last week, its third straight up week, and sixth up week of the last eight weeks.  Small-caps outperformed large-caps’ 2.0% gain by 70 bps last week.  The R2000 is outperforming by 130 bps YTD after underperforming the S&P 500 in ’11 by 630 bps.

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