Retail Investor Euphoria May Be Fading

Some of the retail euphoria which helped push US equities into bull market territory may be waning. Although re-leveraging from previously under-positioned professional investors likely played a key role in allowing stocks to build on gains driven in the first instance by an ongoing bid from systematic cohorts (which dialed up exposure as realized volatility collapsed), there was evidence aplenty of retail froth. One such indicator of individual investor interest receded materially this month,