📝Vol Control Allocation Collapsed to Near COVID/GFC Lows: Barclays

Equity Euphoric Indicator: From sustained boom to abrupt bust: The Equity Euphoria Indicator (EEI) is a metric to gauge the level of investor exuberance in the stock market, using insights from derivatives flows, including volatility technicals and option flows. It is expressed as the % of the number of euphoric stocks in the market. While on a longer time window the EEI remains historically elevated, on a more granular scale, it dropped to the lowest level since the start of the bull market in 4Q23 . Indeed, at 6.0% the 1m MA is currently 0.4 st. dev. below the long-term average, having peaked at double digits levels just a few months ago (Dec-24). - Barclays