Arab Press

بالشعب و للشعب
Friday, Jun 20, 2025

Goldman Sachs CEO says he's concerned about stock-market euphoria stemming from retail investors

Goldman Sachs CEO says he's concerned about stock-market euphoria stemming from retail investors

'There's a lot of retail participation in a bunch of these IPOs,' David Solomon told CNBC. 'I think that's something to watch, something to be cautious about.'
David Solomon told CNBC on Tuesday he's concerned about euphoric activity in the stock market that is being driven by retail investors buying IPOs.

" I do think we're at a moment in time where there's a lot of euphoria. I personally am concerned about that. I don't think in the long run that's healthy. I think it will rebalance over time as it always does," the Goldman Sachs CEO said.

Euphoria was especially visible in the IPO market last week with two high-profile IPOs. Airbnb surged 115% during its public debut, while DoorDash soared 86% as it began trading. Those offerings defied many observers' expectations, and Solomon isn't alone in his concerns that the market is getting too hot. The Goldman chief executive sees retail activity spiking due to technology that's made investing and trading more accessible.

"There's a lot of retail participation in a bunch of these IPOs," Solomon added. "I think that's something to watch, something to be cautious about. I think a bunch of these are great businesses, but obviously, the market at the moment is pricing in, you know, perfect execution and enormous growth for a very long period of time. And my guess is there'll be a rebalancing of that over time for sure."

The banking icon also said that the current stock market is appropriately looking forward and acknowledging that the pandemic will at one point be beyond us.

"There's certainly been a meaningful recovery in the economy but there's still a ways to go. I think we've replaced about 75% of the economic output that we lost when we shut down the economy in March and April and so I do think we see the light at the end of the tunnel."

Solomon added that the Fed's policy actions in the beginning of the pandemic were necessary and staved off a situation that could have been much worse, but they're not without consequences. Now, people are far out on the risk curve and that's inflating asset prices, as seen in recent IPOs, Solomon said.
"Cheap money has an impact," said the CEO.
Newsletter

Related Articles

Arab Press
0:00
0:00
Close
16 Billion Login Credentials Leaked in Unprecedented Cybersecurity Breach
Senate hearing on who was 'really running' Biden White House kicks off
G7 Leaders Fail to Reach Consensus on Key Global Issues
Mass exodus in Tehran as millions try to flee following Trump’s evacuation order
Iranian Military Officers Reportedly Seek Contact with Reza Pahlavi, Signal Intent to Defect
China's Iranian Oil Imports Face Disruption Amid Escalating Middle East Tensions
Trump Demands Iran's Unconditional Surrender Amid Escalating Conflict
Israeli Airstrike Targets Iranian State TV in Central Tehran
President Trump is leaving the G7 summit early and has ordered the National Security Council to the Situation Room
Netanyahu Signals Potential Regime Change in Iran
Analysts Warn Iran May Resort to Unconventional Warfare
Iranian Regime Faces Existential Threat Amid Conflict
Energy Infrastructure Becomes War Zone in Middle East
Iran Conducts Ballistic Missile Launches Amid Heightened Tensions with Israel
Iran Signals Openness to Nuclear Negotiations Amid Ongoing Regional Tensions
Shock Within Iran’s Leadership: Khamenei’s Failed Plan to Launch 1,000 Missiles Against Israel
UK Deploys Jets to Middle East Amid Rising Tensions
Exiled Iranian Prince Reza Pahlavi Urges Overthrow of Khamenei Regime
Wreck of $17 Billion San José Galleon Identified Off Colombia After 300 Years
Iran Launches Extensive Missile Attack on Israel Following Israeli Strikes on Nuclear Sites
Israel Issues Ultimatum to Iran Over Potential Retaliation and Nuclear Facilities
Coinbase CEO Warns Bitcoin Could Supplant US Dollar Amid Mounting National Debt
Trump to Iran: Make a Deal — Sign or Die
Operation "Like a Lion": Israel Strikes Iran in Unprecedented Offensive
Israel Launches 'Operation Rising Lion' Targeting Iranian Nuclear and Military Sites
Israeli Forces Intercept Gaza-Bound Aid Vessel Carrying Greta Thunberg
IMF Warns of Severe Global Trade War Impacts on Emerging Markets
Syria to Reconnect to Global Economy After 14 Years of Isolation
Saudi Arabia Faces Uncertainty Over Succession After Mohammed bin Salman
Israel Confirms Arming Gaza Clan to Counter Hamas Influence
Majority of French Voters View Macron's Presidency as a Failure
U.S. Reduces Military Presence in Syria
Trump Demands Iran End All Uranium Enrichment in Nuclear Talks
Iran Warns Europe Against Politicizing UN Nuclear Report
Businessman Mauled by Lion at Luxury Namibian Lodge
Paris Saint-Germain's Greatest Triumph Is Football’s Lowest Point
OPEC+ Agrees to Increase Oil Output for Third Consecutive Month
Turkey Detains Istanbul Officials Amid Anti-Corruption Crackdown
Meta and Anduril Collaborate on AI-Driven Military Augmented Reality Systems
EU Central Bank Pushes to Replace US Dollar with Euro as World’s Main Currency
European and Arab Ministers Convene in Madrid to Address Gaza Conflict
Head of Gaza Aid Group Resigns Amid Humanitarian Concerns
U.S. Health Secretary Ends Select COVID-19 Vaccine Recommendations
Trump Warns Putin Is 'Playing with Fire' Amid Escalating Ukraine Conflict
India and Pakistan Engage Trump-Linked Lobbyists to Influence U.S. Policy
U.S. Halts New Student Visa Interviews Amid Enhanced Security Measures
Trump Administration Cancels $100 Million in Federal Contracts with Harvard
SpaceX Starship Test Flight Ends in Failure, Mars Mission Timeline Uncertain
King Charles Affirms Canadian Sovereignty Amid U.S. Statehood Pressure
Iranian Revolutionary Guard Founder Warns Against Trusting Regime in Nuclear Talks
×