Rut 2000 futures hovering at 2

Hovering at 2,027, RUT 2000 futures are benefiting from renewed optimism in regional banks, as easing capital requirements are discussed in policy circles. If credit conditions remain stable, small-cap financials could extend the rally. The high-risk, high-reward nature of the Russell 2000 makes stock selection critical, and we’re here to guide you toward the right ones. That said, here is one Russell 2000 stock that could be a breakout winner and two best left off your watchlist. The escalation of threats to US trading partners dragged equities lower this morning as traders worried that trade restrictions will further dampen the economic outlook. Russell 2000 futures (/RTYU5) dropped about 1% in early trading to outpace the Nasdaq 100 and S&P 500 to the downside. Still, Russell remains over 3% higher since the start of the month, which exceeds the gains seen in the S&P 500. Big banks will kick off the earnings season next week. Trading at 2,018, RUT 2000 futures are hovering near a key technical pivot. A decisive close above the 20-day moving average could shift the near-term bias to bullish, especially if jobless claims data shows continued labor market stability.