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Even as stock valuations seem modest, Bill Luby says more investors believe stocks have reached overbought levels. “Suddenly the general consensus seems to be that stocks just do not deserve their current lofty valuation,” Luby writes. But “if stocks are overbought and a correction is indeed just around the corner, the VIX does not appear to be aware of any such inevitability.”

Even as stock valuations seem modest, Bill Luby says more investors believe stocks have reached overbought levels. “Suddenly the general consensus seems to be that stocks just do not deserve their current lofty valuation,” Luby writes. But “if stocks are overbought and a correction is indeed just around the corner, the VIX does not appear to be aware of any such inevitability.” 5 comments!
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