Cautious optimism led stocks back to all-time highs. But are bulls becoming irrationally exuberant?
“Triumph of the Optimists” is a landmark history of investment returns during the 20th century. The story of past several weeks in markets could be called, “Redemption of the Cautious Optimists.” From the start of August, after a startling weak jobs report, the markets locked into investors’ preferred scenario: The Federal Reserve would soon lower…