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✉news BusinessMarkets first seen 17 h ago, last 4 h ago, peak #3

How to Spot a Stock Market Bubble Before It Bursts

Investors are being reminded of classic warning signs that a stock market bubble may be forming, such as stretched valuations, speculative buying and widening gaps between prices and fundamentals. With markets near record highs and valuations in some sectors looking expensive, the practical question of identifying a bubble before it bursts is drawing attention among traders and commentators weighing how much risk to carry.

Why now: Elevated market valuations have investors worried about a potential bubble and correction.

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