Is the Froth in our Coffee Cup a Bit too Happy?

The price of equity rises and falls with social mood. When people are happy and confident about the future, they tend to start businesses, invest in risky endeavors like stocks, cryptocurrencies, junk bonds, emerging markets, etc., in the aggregate. When they become scared and pessimistic, they pull in their horns and sell risky assets.

This article is for paid members - please login or subscribe for access.

Share: