Last week, Peter Schiff did an interview on The Street and talked about the US stock market, saying, ‘Well, the bubble keeps getting bigger.’ We’ve been talking about this ballooning bubble for months. After a while, it’s easy to blow us off as pessimistic contrarians who just don’t get it. But amazingly, large numbers of investors also believe the stock market is way overvalued.
But they keep buying anyway.
Bank of America called it ‘irrational exuberance.’
The latest fund-manager survey by Bank of America Merrill Lynch found that a record 48% of investors say the US stock market is overvalued. Meanwhile, 16% of investors say they are taking on above-normal risk. That’s also a record, eclipsing risk-taking during both the dot-com and housing bubbles.
This post was published at Schiffgold on NOVEMBER 15, 2017.