Retail trading activity as a percentage of total U.S. equities fell to 8.1%, the lowest level since Q3 2024.
According to the Kobeisi letter, this figure is almost halved from the peak of 15.0% in November 2025, marking a sharp reversal.
The current number of participants is below the 11.5% high recorded during the 2021 meme stock frenzy. This is also consistent with levels last seen during the 2020 pandemic and 2022 bear market.
“Retail investors’ risk appetite is plummeting,” the Kobisi letter reads. “Retail is being sidelined.”
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Retail trading activities in the stock market. Source: X/The Kobeissi Letter
The setback also extends to the options market. The trading volume of zero-day-to-expiry (0DTE) options as a percentage of total trading volume fell to 57%, the lowest since Q1 2025. The data suggests a broader shift, with retail investors pulling back from both stocks and derivatives amid heightened macro uncertainty.
While individual investors pulled out of stocks, large amounts of money flowed into precious metals. Since Q2 2025, retail investors have purchased over $70 billion in gold exchange-traded funds (ETFs).
The pace has more than tripled in the past six months. Over the past year, retail investors have also purchased more than $10 billion in silver ETFs.
A collapse in retail equity participation, a retreat in 0DTE activity, and a surge in precious metals inflows have combined to paint a clear picture. Individual investors have been actively shifting their portfolios toward perceived safety, and that shift has not yet reversed.
The post “Retail stock trading halved from peak – lowest level since 2022 bear market” was first published on BeInCrypto.
