Traders worked on the New York Stock Exchange (NYSE) floor in New York City on February 20, 2025.
Spencer Platt | Getty Images
Expensive stock markets don’t stop traders from being more optimistic as investors increasingly bet on bull markets that may continue to move forward, according to Charles Schwab’s new quarter client survey.
Schwab’s survey said the number of bulls in traders continues to exceed 51% to 34% of bears, which conducted a survey of 1,040 active businessmen last month. Young traders under the age of 40 showed particularly optimistic surges, with bullish jumping to 59%. By comparison, it was 47% in the fourth quarter. The survey says that even if two-thirds of traders think the market is overvalued, that positive sentiment is the case.
“It’s obvious that most traders think there’s some bubble in the market, but overall, they feel the bulls, too,” said James Kostulias, director of trade services at Charles Schwab. There is more room for leeway.” “More than half of traders plan to transfer additional funds to stocks in the first quarter.”
While bullishness indicates a positive view on the market, it can also be seen as an indicator of the opposite when there are signs of excessiveness.
S&P 500
After a booming biennium S&P 500 Climbing over 50%, the momentum has slowed recently as new government attention to the slowdown and volatility in rapid policy changes are getting higher and higher. Stock benchmarks only grew 1.3% year while technology is high Nasdaq Composite Materials It has been immersed in negative areas in 2025.
In terms of industry, traders are most optimistic about energy, technology, finance and utilities. These departments are often beneficiaries under the Trump administration due to potential deregulation.
The survey also found that the number of traders who believe the recession will occur in the United States fell sharply – only one-third of respondents called it “some possibilities,” compared to 54% in the previous quarter.
Most traders also don’t see a regaining of inflation, with two-thirds of the prices seeing price pressure remain stable.
