This is a very important chart.
Above we have the PSCF, which represents the performance, price movements, and market trends of the Invesco S&P SmallCap Financials ETF.
This essentially represents small-capitalisation U.S companies in the financial services and real estate sectors.
Basically, the companies that are the most sensitive to liquidity, borrowing, interest rates, credit etc. Small cap financials and regional banks.
This performs well in times of economic expansion and easing liquidity and badly in times of contractions. It is a lot more sensitive than that of the main S&P500 for ex