Small-Cap ETFs Just Became The Hot New Trade—Thanks To Powell

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Small-cap stocks, which had been underperforming for months, are now gaining investor interest, with the iShares Russell 2000 ETF (NYSE:IWM) drawing $1.5 billion in new inflows last week, according to FactSet data cited by Etf.com. The rally followed the Fed Chairman Jerome Powell’s speech at Jackson Hole, which indicated that the Federal Reserve might cut interest rates in September, reviving hopes among traders for a more accommodative monetary scenario.

• IWM ETF is up more than 6% in the past month. Check it’s prices live, here.