---
title: "Recent markets have once again demonstrated that assets more sensitive to liquidity exhibit greater "
description: "Recent markets have once again demonstrated that assets more sensitive to liquidity exhibit greater elasticity. As the market quickly prices in rate cuts, small-cap stocks are indeed more sensitive to"
type: "topic"
locale: "en"
url: "https://longbridge.com/en/topics/22486183.md"
published_at: "2024-07-16T01:50:56.000Z"
author: "[Dolphin Research](https://longbridge.com/en/news/dolphin.md)"
---

# Recent markets have once again demonstrated that assets more sensitive to liquidity exhibit greater 

Recent markets have once again demonstrated that assets more sensitive to liquidity exhibit greater elasticity. As the market quickly prices in rate cuts, small-cap stocks are indeed more sensitive to interest rates, creating a wave of upside opportunities. However, Dolphin Research believes that both the sustainability of this rally and its stability after the rise should be considered when evaluating trading opportunities.

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> **Disclaimer**: This article is for reference only and does not constitute any investment advice.