The S&P 500/400/600 Performance Derby

The S&P 500 LargeCap stock price index is up 44.0% since the end of the latest bear market on October 12, 2022. The S&P 400 MidCap and S&P 600 SmallCap are up 29.5% and 17.8% since then. The S&P 500 and S&P 400 are trading at record highs, while the S&P 600 remains below its record high (chart).

It's been widely expected by us and numerous other investment strategists that the bull market should broaden from the LargeCaps to the SMidCaps because the latter have been and remain relatively cheap as measured by their forward P/Es (chart). That has been happening as the SMidCaps have rallied since the start of the bull market though not as impressively as the S&P 500 and its MegaCap-8 leaders.