Barclays Warns of Euphoria in European Stocks as Equity Euphoria Indicator Reaches Levels Not Seen Since 2000

Barclays has raised concerns regarding the current state of European stock markets, indicating that the Barclays Equity Euphoria Indicator (EEI) has reached levels not seen since the dot-com bubble. The bank's analysts have noted that the euphoria in the markets is at a peak, suggesting a potential need for caution among investors. Reports highlight that stock buybacks in Europe are expected to continue throughout 2025, reflecting ongoing investor confidence despite the warning signs. The situation is characterized by a mix of optimism and uncertainty, with analysts describing the market as being in 'euphoric territory.'