The main index of small US stocks hit a new record on Monday for the first time in three years, as investors bet Donald Trump’s election victory would jump-start their performance after years of lagging behind larger peers.
The Russell 2000 rose more than 2 per cent to as high as 2,466.48 before closing up 1.5 per cent at 2,442.03, buoyed by a broad market rally as Trump’s selection of Scott Bessent as Treasury secretary eased investor concerns that the president-elect would bring in sweeping tariffs that hit economic growth.
The index has climbed about 10 per cent since the election day, eclipsing its previous peak of 2,458.86 set in November 2021, amid expectations that domestically focused smaller companies have the most to gain from Republican policy priorities such as corporate tax cuts and deregulation.