Brad Lamensdorf on investor euphoria: "watch out!"

The level of investor euphoria recently has been at its highest level in many years. Why is this important now?  This excessive euphoria comes at a time when many investors appear to be ignoring market indicators and bleak economic news signaling the stock market is seriously overbought, particularly after its recent  big surge since March’s low. So, what’s propelling investor to thrown caution to the wind? It’s known as FOMO. That means individual and many professional investors are operating on emotion despite all the warnings because of Fear of Missing Out.

~ Brad Lamensdorf, "Investor Sentiment Turns Euphoric Over Stock Market Outlook: Watch Out!," LMTR, July 30, 2020