Bank says 10 of 18 items on its bear-market checklist are now triggered worldwide, even as it remains constructive on stocks through year-end.
Global equities are showing their most severe bubble conditions since the 2008 financial crisis, Citi said on June 5, with 10 of 18 indicators on its bear-market checklist now flashing worldwide. The bank pointed to stretched valuations, bullish investor sentiment, AI-driven spending and a pickup in IPO activity as signs of mounting excess. Even so, Citi said it remains positive on stocks through year-end, while warning that buying market dips may become increasingly risky if those signals deteriorate further.