Earlier this week, NVIDIA and Broadcom stocks took a hit, causing market ripples across the AI and semiconductor sectors. Both companies have been at the forefront of the AI boom over the past few years, benefiting from strong demand for advanced chips. However, this week, concerns over competition and market valuation triggered a sharp sell-off.

As a result of the record-breaking bull market, Federal Reserve (Fed) rate cuts, and not to mention political clarity following the U.S. election, more optimism has permeated throughout U.S. financial markets lately. While this is common, the nearly continuous rise in consumer sentiment towards the stock market has raised eyebrows.

Each month, the Conference Board issues a consumer confidence survey, a sample from approximately 3,000 households across the United States. The survey asks respondents about their optimism (or pessimism) on topics including, but not limited to, the labor market, inflation, business conditions, and the stock market. In the most recent release from the end of November, the percent of consumers who expect the stock market to increase continued its upward trend to another record high. Following a record high in October, 56.4% of respondents were optimistic about the stock market over the next 12 months, an increase of 4.5% from the previous report.

Explore how tariffs impact trade, inflation, and market trends in our latest Weekly Market Commentary. Learn about shifts in U.S.-China trade dynamics, producer price trends, and the evolving role of tariffs in today’s economy. Stay ahead with expert insights and data-driven analysis tailored for investors.