Retail investors in the U.S. have made substantial purchases in the stock market, acquiring $7.8 billion in cash equities over the past week. This figure represents an increase of 2.3 standard deviations above the 12-month average, indicating a strong bullish sentiment among individual investors. Concurrently, U.S. stock valuations have reached their highest levels relative to government bonds since the dot-com era, with the S&P 500 trading at a forward price-to-earnings (P/E) ratio of 22.2. This valuation is above both the five-year average of 19.7 and the ten-year average of 18.2. The current market conditions have led to concerns about potential overvaluation, as the market capitalization of the largest 50 stocks has surpassed 110% of U.S. GDP, a significant increase from historical averages. Additionally, foreign investments in U.S. equities have surged, totaling $77 billion over the last three months, reflecting a strong international interest in U.S. stocks. Overall, the market is experiencing a pronounced bullish phase, with retail and foreign investors showing unprecedented levels of optimism.