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In ominous sign, sellers are vanishing as US stocks smash record

  • Sellers are becoming scarce in the US stock market, signaling potential overconfidence as equities hit record highs.
  • Low trading volume for declining stocks, accounting for just 42% of total turnover, is the least since 2020, indicating possible overly bullish sentiment.
  • Past instances have shown that a decline in selling volume preceded pullbacks in stocks, typically ranging from 3% to 5% during bull markets.
  • While there are conflicting signals in the market, with some concerns such as concentration in technology stocks, other factors like declining market volatility suggest continued room for stock market growth.

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