Really nothing has shaken my confidence in the secular bull market that started in 2013 with the S&P 500’s decisive breakout above 1550. This has been a prominent theme in Kort Sessions since Session One (February 1, 2013). My optimism then and since has derived from the belief that monetary policy, providing a near-zero interest rate environment, in support of…
Tag: Robert Shiller
Prof. Robert Shiller–Don’t Sell (Maybe)
“I can see it as a real possibility that stocks prices and house prices would both keep going up for years (maybe), but I’m not forecasting that by any means,”– Robert Shiller. Even though this is a qualified opinion it is still quite a revelation, as the good professor, co-inventor the Cyclically Adjusted Price-to-Earnings Ratio…
CNBC–“Market indicator hits extreme last seen before plunges in 1929, 2000 and 2008”
OMG! The “Cyclicly Adjusted” PE (CAPE) is over 27! This is really bad news. At least, that’s what the CNBC headline above would imply. Before you decide it might be a good idea to look into just what exactly CAPE is. CAPE, simply put, a … Price earnings ratio is based on average inflation-adjusted earnings…