According to Bloomberg's industry research strategist quantitative model, the US stock market hit a historic high on May 8th, but signs of overheated sentiment suggest that the upward trend may enter a slowdown phase. The rebound from the March low in this round is driven by expectations of easing tensions between the US and Iran, as well as corporate profit growth, with sentiment approaching the "frenzy" range. The model tracks six indicators, among which high-yield corporate bond spreads, low volatility, and paired correlations drive sentiment to this level.
