There is literally so much dumb money sloshing around the world that someone paid over 4 million for a baseball...... Los Angeles Dodgers slugger Shohei Ohtani's 50th home run ball sold for $4.392 million at auction, including buyer's premium, shattering the record paid for a baseball -- or any sports ball, for that matter https://www.espn.com/mlb/story/_/id...ohtani-50-50-ball-fetches-439-million-auction
Perhaps the purchaser isn't "dumb money" but someone with so much money they do not consider 4 million significant.
The reason why you're calling it "dumb money" is because money currently has actual value for you. But for many people out there, $4Million is a rounding error compared to the amount they have overall. So for them, a $4Million baseball is nothing more than an interesting novelty to own. In other words, it means nothing to them in the grand picture of life. It's a conversation piece. It's just something to buy because it's unique and also because they had to win an auction to get it, so it a certain sense, it's a prize they won by beating out everyone else involved in the process. It's a trophy so to speak. So at the end of the day, the buyer's business might be bringing in $50Million in annual recurring net profits, so he doesn't give a flying fuck about the cost of that $4Million baseball. It just represented an entertaining auction game that he just so happened to have won.
To use a RE-analogy. In many markets (during/post subprime crash) there were 10, 20, $50MM co-op apts selling for then record prices yet the $500K FHA housing market had collapsed.
dumb money might be smart money. A $ 4 million baseball might be worth $ 8 million in a few years / decades.
When you consider the fact that these people have so much monies, maybe, you are the dumb one? You should be following them to figure out how they got so filthy rich. Then, you can become filthy rich too.