Small caps lost steam in March. Here’s what’s next for these stocks

Traders on the floor of the New York Stock Exchange.

Source: CNBC

A dramatic run for small cap stocks hit a skid in mid-March, as the Russell 2000 found itself in a familiar position of lagging its large cap peers.

In a four-month span from the end of October to the end of February, the small cap Russell 2000 added a whopping 43%, more than doubling the return of the S&P 500.

But investors appeared to turn sour on smaller companies a few weeks ago, and the Russell 2000 ended March up about 0.8%, while the S&P 500 rose more than 4%.

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