Stocks Have Been This Pricey Only 3 Times in 153 Years -- and You're Not Going to Like What's Happened Following the Prior 2 Instances
Over the last century, stocks have been on a pedestal of their own. Although other asset classes, including Treasury bonds, gold, oil, and housing, have produced positive nominal returns, nothing else has come close to generating the annualized total return that stocks have delivered.
Despite this outperformance, stocks don't move higher in a straight line. From point A to point B, the journey resembles a winding road filled with various potholes and speed bumps.
Even though the ageless Dow Jones Industrial Average (DJINDICES: ^DJI), benchmark S 500 (SNPINDEX: ^GSPC), and growth-focused Nasdaq Composite (NASDAQINDEX: ^IXIC) are all firmly in a bull market and just a stone's throw from respective all-time highs, one valuation tool suggests the party is set to come to an abrupt end.
Source Fool.com