Why this bull market feels 'weird': Morning Brief

Published On Oct 30, 2024, 6:00 AM

The current bull market in U.S. equities feels unusual to many investors, as growth data and earnings report a positive outlook amidst a backdrop of high interest rates and unusual economic factors. Although the Nasdaq Composite has reached multiple record highs, market dynamics raised concerns about cognitive dissonance among investors. Some highlight the strange behaviors of small-cap stocks, which have not kept pace, indicating the market's atypical nature. Additionally, despite the Fed's aggressive rate hikes, corporate interest payment burdens have lessened, leading to overall positive sentiments about sustained economic expansion and robust job growth.