Behavioral finance tech-heavy indexes show behavioral

Tech-heavy indexes show behavioral finance effects where investors follow momentum leaders like Nvidia and Microsoft. Price action exceeded fundamental valuation models, signaling a possible short-term bubble driven by herd mentality. At Cornell, Thaler founded the Behavioral Economics and Decision Research Center in 1989, which continues to bring researchers together. He also helped start the Behavioral Decision Research in Management Conference, which has grown from 50 people in its early days to a biennial conference of around 500 participants. And he created a two-week summer program for graduate students and assistant professors from across the country, allowing them to explore the field. When typing in this field, a list of search results will appear and be automatically updated as you type. Behavioral finance models suggest investors are overreacting to AI-related earnings beats, pushing S&P 500’s technology sector forward by 4.5% in two weeks. Market forecasters note this may lead to a short-term correction as the fear-of-missing-out effect fades and profit-taking increases.