On SMidCaps, Steel & Optical Semis

Small- and mid-capitalization stocks have been outperforming large caps since mid-November, and how! The S&P SmallCap 600 and MidCap 400 indexes are up in the double digits since then, dwarfing the S&P 500’s 4.6% rise. Does the rally of the little guys have legs? Joe examines the underlying fundamentals by tallying up the sectors with record-high forward earnings and profit margins. … Also: Other shining examples of outperformance have caught Jackie’s eye: steel and steel-related stocks. Steel company managements are optimistic about this year. … And: Semiconductors may get way more efficient and AI data centers way cheaper to operate if optical semiconductors see the light of day.