Valuations First a bit of a context where valuations are now at. Let’s start with the US Stock Markets. S&P 500 The mean and median PE ratio for the S&P 500 is 15.82 & 14.83 respectively. On 2 Sept 2020, the PE ratio is 30.78. That is almost double the mean/median PE. Nasdaq Then we look at Nasdaq. Looking at Nasdaq PE Ratio range over the past 13 years, the median PE was 19.24. On 3 Sept 2020, the TTM PE ratio is 24.075. Much higher than the median PE. Market cap to GDP ratio Another way to look at valuation, is via the market cap to GDP ratio. This ratio compares the total market cap of all U.S. publicly traded stocks with GDP. More specifically, it calculates the total value of the outstanding shares of all U.S. domiciled, publicly traded companies (the numerator), and divides that number by total GDP. As per the article below, the U.S. stock market, collectively, is about 77.0% overvalued....