SPDR S&P Emerging Markets Small Cap ETF Price & Performance (EWX)

The S&P 500 rebounded over 2% on Friday after dipping into correction territory on Thursday. Despite technical indicators suggesting bearish trends, some analysts believe it might be time to look for emerging buy signals. The Nasdaq remains in correction territory, down 11.33% from its 52-week high.1

Investors shifted $2.28 billion into U.S. fixed-income ETFs as equity markets faced pressure from inflation and tariff fears. Meanwhile, international equity ETFs saw $1.48 billion in inflows. The tech-heavy QQQ and Russell 2000-tracking IWM led outflows, losing $1.8 billion and $1.33 billion, respectively.2

The Russell 2000 index is consolidating above key support levels, with analysts predicting a potential breakout past resistance zones. If successful, small-cap stocks could rally, outperforming large caps. ETFs such as IWM and VTWO may offer opportunities as global cyclical markets gain momentum.3