Stocks

Wall Street Review: Small Caps Shine as Large Caps Struggle in Volatile Week

Stock markets were choppy this week on White House–Federal Reserve tensions, Trump’s credit card rate cap proposal, and an upbeat TSMC outlook.
Wall Street Review: Small Caps Shine as Large Caps Struggle in Volatile Week
A trader works on the floor of the New York Stock Exchange on Jan. 14, 2026. Michael M. Santiago/Getty Images
Panos Mourdoukoutas
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After posting a strong rally the previous week, equities ended this week mixed, with small-cap stocks extending their gains while large-cap indexes paused amid increased volatility.

Trading was choppy, driven by renewed tensions between the White House and the Federal Reserve, a proposal to cap credit card interest rates, and an upbeat outlook from Taiwan Semiconductor Manufacturing Co. (TSMC).

Panos Mourdoukoutas
Panos Mourdoukoutas
Author
Panos Mourdoukoutas is a professor of economics at Long Island University in New York City. He also teaches security analysis at Columbia University. He’s been published in professional journals and magazines, including Forbes, Investopedia, Barron's, IBT, and Journal of Financial Research. He’s also the author of many books, including “Business Strategy in a Semiglobal Economy” and “China's Challenge.”