irrational exuberance
Unwarranted market euphoria
Irrational exuberance describes excessive optimism that drives asset prices beyond what fundamentals justify.
The phrase gained currency after Federal Reserve chairman Alan Greenspan used it in 1996 to characterize the stock market's seemingly unsustainable rise.
It now applies broadly to any market bubble or collective overconfidence: The housing boom was fueled by irrational exuberance.
- bubbleAir-filled film sphere
- tulip maniaIrrational asset price craze
- maniaIntense, consuming obsession
- frenzyViolent mental agitation
- euphoriaIntense emotional high
animal spirits · speculation · boom · boom and bust · hype · fever · madness · tulip · dotcom · crash · fear of missing out · overconfidence · greed · hubris · bullish · stock market · market · delusion
- Dot-com Eradot-com crash, bubble burst, IPOs, stock speculation, Silicon Valley
- market bubblesbubble, asset bubble, tulip mania, dot-com bubble, housing bubble
- market phenomenamarket crash, market bubble, flash crash, correction, bubble
- behavioral economicsloss aversion, nudge, anchoring, cognitive bias, heuristics
- investingstocks, stock, bonds, investing, investor
irrational exuberancepanic selling
Fear-driven mass liquidation
capitulation · doom and gloom · market panic · fear and loathing · flight to safety
irrational exuberancedespondency
Profound loss of hope
fatalism · hopelessness · resignation · melancholy · world-weariness
irrational, exuberance, rational, rationally, irrationally, rationality, irrationality, rationalize, rationalization