The trader works on the New York Stock Exchange floor on February 20, 2025.
Spencer Platt | Getty Images
Charles Schwab’s new quarterly client survey found that investors are increasingly betting that the bull run can keep running, so in expensive stock markets it didn’t prevent traders from becoming more bullish .
According to a Schwab survey, which voted 1,040 active traders last month, the Bulls continue to surpass 51% to 34% among traders. Young traders under the age of 40 showed a particularly surge in optimism, with bulls jumping at 59%. This is comparable to 47% in the fourth quarter. Research shows that positive sentiment was brought about because two-thirds of traders believe the market is overvalued.
“It’s clear that the majority of traders believe there’s a bubble in the market, but they feel that there’s still more room for the Bulls to run,” says Charles Schwab’s Director of Trade Services. said James Koslilius. “More than half of traders will move additional money into stocks in the first quarter,” Costilius added.
Bull is a positive view in the market, but if there are signs of excess, it can also be considered the opposite indicator.
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S&P 500
After a two-year booming boom with the S&P 500 rising more than 50%, concerns about the slowdown in the economy have risen, slowing momentum over the rise in volatility due to rapid policy changes from the new administration. Equity benchmarks are up 1.3% per year, but technology-rich NASDAQ composites are immersed in negativity in 2025.
When it comes to sectors, traders are the most bullish when it comes to energy, technology, finance and utilities. These sectors are usually beneficiaries under the Trump administration due to the potential for deregulation.
The survey shows a significant decrease in the number of traders that only a third of respondents are called “somewhat likely” and that occurs in the US compared to 54% in the last quarter. was detected.
The majority of traders also did not see a re-control inflation.
