⚠️Retail investors have never been more euphoric about US stocks
The current retail mania has largely exceeded the 2021 meme stock craziness
Retail investors purchased $12 billion in US equities over the last week and broke another record.
Notably, ~70% of these buying went to Magnificent 7 stocks, most to Tesla and NVIDIA.
As a result, mom-and-pop investors' sentiment spiked to the highest level on record and exceeded the sentiment seen during the meme stock mania in 2021 and record 2022 levels.
Individual investors have never been more bullish on stocks.
On the other hand, institutional investors have been selling over the last few weeks as highlighted in the previous articles.
As a reminder, the S&P 500 beat retail investors’ performance by a few percentage points in 2024.
Meanwhile, the Magnificent 7 stocks are on the brink of breaking key technical levels.
Will this be another relatively rough year for retail investors?
If you find it informative and helpful you may consider a paid subscription (or annual if subscribed), become a Founding Member, and follow me on Twitter or Nostr:
Why subscribe?