The stock market’s fear gauge just hit a 42-month low. Investors are ignoring a load of risks, hedge fund manager says.

• Wall Street’s “fear gauge” registered its lowest weekly close since January 2020 on Friday.
• Boaz Weinstein questioned investors’ confidence given their recent and current challenges.
• The Saba chief pointed to the pandemic, inflation, the Russia-Ukraine war, and recession risks.

Investors are facing a bunch of risks and challenges but by one measure, they appear more confident today than before the pandemic struck. Boaz Weinstein underlined how absurd that is in a Saturday post.

“Yup, totally makes sense that financial market uncertainty is now less than pre Covid, Inflation, Ukraine, inverted yield curve, high European recession risk, moderate US recession risk, etc.,” Weinstein wrote sarcastically on X, formerly known as Twitter.