Soon after, though, retail investors pulled out of the market at a furious pace as inflation climbed, the central bank raised interest rates, and risk appetite evaporated. Those that remained endured a brutal rout in 2022.
Gene Goldman, chief investment officer for Cetera Investment Management, told Insider that retail investors bid up stocks in January because optimism for an economic soft-landing ticked up — despite the Fed's insistence that more tough monetary policy is still on the way.
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Don’t blame Reddit. Plenty of hedge funds, algos driving up stocks.