Red Flags Emerge With Record-High Stocks Brushing Aside Political Turmoil
- Hedging in the options market, SPY shorts have dwindled
- Investors rush to leveraged products that bet on further gains
Donald Trump speaks at the White House on Jan. 8.
Photographer: Andrew Harrer/BloombergThis article is for subscribers only.
President Donald Trump toned down rhetoric against Iran, fueling a rally in American stocks that took major benchmarks to fresh records.
The rebound from an overnight rout that topped 1.5% has some investors breathing a sigh of relief, but another cohort point to mounting signs that the comeback is a sign of complacency among bulls.