Market Volatility: Is the US Stock Market in a Bubble?

  • 📰 NBCNewYork
  • ⏱ Reading Time:
  • 60 sec. here
  • 7 min. at publisher
  • 📊 Quality Score:
  • News: 44%
  • Publisher: 63%

Finance أخبار

Stock Market,Nasdaq,Dow Jones

The article discusses the current state of the US stock market, highlighting the record highs of the Nasdaq, the Dow's recent losing streak, and the flat performance of the S&P 500. It analyzes the market's exuberance, potential for a pullback, and the attractiveness of traditional S&P 500 investments.

The Nasdaq is at all-time highs, while the Dow is coming off an eight-day losing streak for the first time since 2018. If the Dow falls again today (as it's looking right now), it will be the first nine-day losing streak since 1978. The S&P 500 meanwhile has been flattish since its record high close two weeks ago. But it's still up a whopping 28% so far this year, and its charts seem to hint at further growth.

We're coming off 11 straight days where there have been more decliners than advancers in the S&P 500--the longest stretch in recent history. There's more! The market cap of U.S. companies whose enterprise value is trading at more than ten times adjusted profits, or Ebitda, according to Goldman is now, before the market underwent a nasty correction. But then there are mega-cap tech stocks like Google trading at just 22 times forward earnings, which is hardly expensive. What does it all mean? Is the market 'broken'? Is it in a tech or AI bubble? Of course the exuberance is high right now, especially post-election, and I won't be surprised when we have a pullback. With a time horizon of anything beyond a couple of years, would I rotate out of the S&P 500? No. I want exposure to the traditional S&P 500. Does it mean more volatility? Sure. The flipside of that is higher returns in the long run, though. America is the envy of the world right now, for its tech outperformers in particular. The S&P 500 by itself now accounts for more than 50% of global stock market cap. I understand a lot of people want to fade this, and say it's time for a rebalancing to international stock

لقد قمنا بتلخيص هذا الخبر حتى تتمكن من قراءته بسرعة. إذا كنت مهتمًا بالأخبار، يمكنك قراءة النص الكامل هنا. اقرأ أكثر:

 /  🏆 270. in EG
 

شكرًا لك على تعليقك. سيتم نشر تعليقك بعد مراجعته.

مصر أحدث الأخبار, مصر عناوين

Similar News:يمكنك أيضًا قراءة قصص إخبارية مشابهة لهذه التي قمنا بجمعها من مصادر إخبارية أخرى.

Stock market today: S&P 500, Dow sidestep Trump's tariff threat to close at recordStock market today: S&P 500, Dow sidestep Trump's tariff threat to close at record
مصدر: Investingcom - 🏆 450. / 53 اقرأ أكثر »

Stock market today: S&P 500 closes lower halting record run as payrolls loomStock market today: S&P 500 closes lower halting record run as payrolls loom
مصدر: Investingcom - 🏆 450. / 53 اقرأ أكثر »

Stock market today: S&P 500 ends lower after upside inflation surpriseStock market today: S&P 500 ends lower after upside inflation surprise
مصدر: Investingcom - 🏆 450. / 53 اقرأ أكثر »

Stock market today: S&P 500 closes at record to wrap up best month of 2024Stock market today: S&P 500 closes at record to wrap up best month of 2024
مصدر: Investingcom - 🏆 450. / 53 اقرأ أكثر »

Stock market today: S&P 500 rises as cyclicals shine offsetting Alphabet slumpStock market today: S&P 500 rises as cyclicals shine offsetting Alphabet slump
مصدر: Investingcom - 🏆 450. / 53 اقرأ أكثر »

Stock market today: S&P 500 closes higher as Nvidia powers tech ahead of earningsStock market today: S&P 500 closes higher as Nvidia powers tech ahead of earnings
مصدر: Investingcom - 🏆 450. / 53 اقرأ أكثر »