SPDR S&P 500 (SPY)

[spartex]

I believe the markets are anticipating solid earnings/forecasts from the tech stocks; Mag 7 and others below that are part of the AI growth areas, also as it filters into other companies that buy this technology (tools) to improve their efficiency/productivity.

Also, I believe the market is looking at Trump recent primary state wins as VERY positive for small cap stocks, as they are still 20% below their highs, and if Trump gets elected he will reduce/undo regulations that put higher costs on small cap stocks than the large caps. In other words, it eats into their bottom line compared to the much smaller impact to large caps. Large caps would still benefit more too, just not as much. jmho.