"VinFast's 504% Rally Exposes Traders' Greater Fool Theory"

VinFast Auto Ltd, an unprofitable electric-vehicle maker, experienced a four-week trading frenzy that saw its market value surpass that of McDonald's and General Motors before plummeting roughly 80% in eight days. This episode highlights the prominence of the greater fool theory in the US stock market, where investors bid up obscure stocks only to witness their spectacular crashes. Retail investors, arriving late to the trade, played the greater fool, fueling the boom and subsequent bust. The phenomenon mirrors risky bets on other companies that went public through blank check deals, with a small percentage of stock floats making them susceptible to manipulation. Despite the record losing streak, VinFast's market value remains high, indicating the persistence of speculative trading driven by free money and online platforms.