Small Cap Stocks Will Struggle Without More Rate Cuts, Royal Says

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Small cap stocks are expected to face challenges if the Federal Reserve does not implement further interest rate cuts, according to David Royal of Thrivent.

Market Impact

Market impact analysis based on bearish sentiment with 90% confidence.

Sentiment
Bearish
AI Confidence
90%
Time Horizon
Short Term

Article Context

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David Royal of Thrivent says small cap stocks will struggle without more interest rate cuts from the Federal Reserve. (Source: Bloomberg)

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Original article published by Bloomberg on January 16, 2026.
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