Small Caps Try and Make it Three in a Row  Image: Shutterstock This is Tracey Ryniec, Senior Stock Strategist and the Editor of the Insider Trader and Value Investor, filling in for Kevin today and tomorrow. What's going on at Apple? Yesterday's news that Apple has apparently canceled its project to create a new, luxury electric vehicle shocked many on the Street. Its EV, which wasn't really a secret in Silicon Valley, was expected to be at a luxury price point, as are all things Apple. But according to Bloomberg, Apple has thrown in the towel after a decade and will transfer those employees to AI initiatives instead. Is this a sign that the multi-year momentum in EVs is coming to an end? Or is it simply that Silicon Valley sees more money to be made in AI in the coming decade? Companies continue to report earnings with many of the retailers reporting this week as well as some big tech names like Salesforce, today after the bell, and Dell on Thursday after the bell. It seems like old times with Dell shares up over 100% in the last year. It's not just NVIDIA with momentum. Retail stocks have been a surprise winner over the last few months as the holiday season was better than expected. Also, consumers continue to spend at the shopping mall and online, so sales are holding up. There's some interesting economic data to keep an eye on later this week. In addition to the PCE data, on Thursday, Chicago PMI for February will be out in the morning. Last month it came in at 46, but that was above consensus. Consensus for February is looking for 48. That's still indicating contraction in Chicago manufacturing, but it is heading in the right direction, which is up. The old economy stocks have been hot, including Berkshire Hathaway which has been hitting new all-time highs. Stocks are forward looking and could already be looking out at a rebound in manufacturing later this year. Three Fed Presidents will be speaking today, the most highly watched is the Atlanta Fed President Raphael Bostic. Will any of them give any indications of their thoughts on rate cuts, or increases? These speeches can be market movers. The big cap stock indexes continue to trade near their all-time highs but it's been the small caps which have put in two green days in a row. The Russell 2000 was up another 1.3% yesterday. Many have been waiting for a small cap rally. Let's see if they can make it three in a row. I'll be back tomorrow,  Kevin Matras
Executive Vice President, Zacks Investment Research | 
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