Investor sentiment in the U.S. stock market has reached record levels of optimism, according to multiple indicators. The share of U.S. consumers expecting higher stock prices over the next 12 months has surged to 56%, the highest since the metric began in 1987. The Euphoriameter, a measure of investor sentiment based on S&P 500 forward price-to-earnings ratios, the Volatility Index (VIX), and bullish survey responses, hit a record high of 1.1 points. Additionally, 43% of investors now believe there is less than a 10% chance of a stock market crash in the next six months, the highest on record and significantly above the historical average of 30%. This percentage has doubled in just two years as the market rallied. However, market analysts have noted signs of caution, as stock market breadth weakens and more individual stocks enter downtrends despite record highs in major indices. Concerns about potential complacency among investors are growing as optimism continues to rise.