The Euphoriameter Hits A Post-Crisis High
Callum Thomas | Jul 06, 2017 12:30AM ET
The "irrational exuberance ' or rational exuberance. The truth is exuberance usually starts from some rational reason such as low interest rates, strong economic growth, improving earnings, expectations of stimulus, better global economy, etc. And some of these conditions certainly exist. But another way of looking at it is that expectations are increasingly high, and thus vulnerable to disappointment.
The "Euphoriameter" has climbed to a post-crisis high after giving a buy signal at the market bottom in early 2016. We are yet to see the same type of extreme euphoric levels of the dot-com bubble, but it wouldn't take much to get there from here.
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