Measuring consumer 'euphoria' with the Levkovich Index

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Consumer sentiment rose to 67.8 in August, published by the University of Michigan consumer survey. But sentiment is still below "euphoric" levels according to the Levkovich Index. What does this mean exactly?

Yahoo Finance markets reporter Josh Schafer explains how market and investor "euphoria" and "panic" are measured under this rule.

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This post was written by Luke Carberry Mogan.