
Wobbly Equity Market = Burst Bubble?
The Chart shows that both #stocks and equity #volatility can go up together, although it is rare. The late 1990s shares many similarities with the current episode, including this positive correlation. Will #AI plays resume their powerful uptrend after a healthy pause, but with underlying volatility also rising? Or is this a sign that the #bubble is bursting since bear markets always begin looking like corrections? And how far should forecast diverge from #risk management in investor strategy?