A dealer works on the ground of the New York Inventory Change (NYSE) on the opening bell in New York on March 18, 2026.
Angela Weiss | Afp | Getty Photographs
The Russell 2000 has fallen greater than 10% off its latest excessive, turning into the primary of the main U.S. benchmarks to fall into correction territory.
A correction is outlined as a decline of greater than 10% and fewer than 20%.
Russell 2000, 1-year
Small caps truly outperformed to start out the 12 months, with the Russell 2000 simply 1% off in 2026 because the hope of simpler financial coverage and a pivot away from massive caps boosted the asset class.
However the benchmark has tumbled this month amid the continuing warfare in Iran, which has spurred a greater than 50% spike in Brent crude oil futures. The Russell 2000, which has higher publicity to cyclical sectors, is particularly delicate to adjustments in oil costs and a slowdown within the financial cycle. It is down greater than 6% this month.
The small cap index might quickly be joined by different of the main averages. The Dow Jones Industrial Common and the Nasdaq Composite had been final greater than 9% off their all-time highs. The S&P 500 was off by greater than 6%.
