Lots of talk on this Friday, Feb. 8, about the S&P and the Nasdaq closing out the sixth straight week of gains. Furthermore, the Nasdaq closed at a 12-year high and the S&P a five-year high based in large part on positive international signs for economic growth.
And several commentators, like J.C. O’Hara of Phoenix Partners Group, say now is the time to jump into small caps, if you haven’t already done so. He noted that JP Morgan’s top equity strategist today raised his price target for the Russell 2000, an index made up of small cap stocks.
O’Hara told a CNBC audience Friday afternoon that he likes all equities right now, but “the small caps will take you higher.” (http://video.cnbc.com/gallery/?video=3000146737&play=1#).
O’Hara said there is so much “pent-up demand for small cap stocks,” adding “I don’t want to stand in front of this bull train.”