Laith Khalaf: The slow fade of rational exuberance

'A bit of a stinker for markets'

clock • 4 min read

We may be witnessing the slow fade of "rational exuberance" in the US market which has swollen stock prices for the last decade, writes Laith Khalaf.

We're nearly halfway through the year, and it's been a bit of a stinker for markets, especially in the US. The S&P 500 sits at around the 4,100 mark at the time of writing, down from 4,800 at the start of the year, a not inconsiderable 15% fall. That level of decline normally signals a good entry point into the market, but (whisper it sheepishly) this time might be different. The fall we have seen in the S&P 500 only wipes out gains seen in the previous six months, so if you had invested in US stocks a year ago, you're about evens. And if you invested 2 years ago, you're still in prof...

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