--- title: "Small-cap stocks are plunging. Are stalled Iran negotiations responsible?" type: "News" locale: "en" url: "https://longbridge.com/en/news/285639120.md" description: "Small-cap stocks are experiencing significant declines, particularly the Russell 2000, which fell 1.6% amid stalled U.S.-Iran negotiations. The uncertainty has led to rising oil prices and interest rates, signaling potential inflation. Despite a recent 3% gain due to hopes for a resolution, earnings reports from major holdings like Bloom Energy and Shake Shack have negatively impacted the index. However, analysts suggest that small-cap stocks may present an opportunity for investors due to lower valuations compared to large-cap stocks, especially if macroeconomic conditions improve." datetime: "2026-05-08T00:13:18.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/285639120.md) - [en](https://longbridge.com/en/news/285639120.md) - [zh-HK](https://longbridge.com/zh-HK/news/285639120.md) --- # Small-cap stocks are plunging. Are stalled Iran negotiations responsible? After gaining more than 3% over the last two sessions, the Russell 2000 lost 1.6%. ### Related Stocks - [SHAK.US](https://longbridge.com/en/quote/SHAK.US.md) - [BE.US](https://longbridge.com/en/quote/BE.US.md) - [IWM.US](https://longbridge.com/en/quote/IWM.US.md) - [IWO.US](https://longbridge.com/en/quote/IWO.US.md) - [VTWV.US](https://longbridge.com/en/quote/VTWV.US.md) - [RSSL.US](https://longbridge.com/en/quote/RSSL.US.md) - [VTWO.US](https://longbridge.com/en/quote/VTWO.US.md) ## Related News & Research - [IWM and VTWO track the same 2000 stocks yet VTWO’s ten-year return crushes IWM by nearly 40 percentage points](https://longbridge.com/en/news/286540804.md) - [TimesSquare Capital Management LLC Has $29.27 Million Holdings in Bloom Energy Corporation $BE](https://longbridge.com/en/news/286897134.md) - [Small-Cap ETFs May Be Prepping For A Comeback Investors Are Still Ignoring: Here Are Four You Can Start With](https://longbridge.com/en/news/286806917.md) - [ANALYSIS-US small caps, consumer stocks, housing shares could bear brunt of yield spike](https://longbridge.com/en/news/286809229.md) - [Magnera Corporation Balances Cash Strength and Inflation](https://longbridge.com/en/news/286989872.md)