> hard to believe that the drop was only 10 percent in 2000

SP500 returns the year after peak CAPE ratio

> was OP even alive in 2000 lol?

I was so alive!

hard to believe that the drop was only 10 percent in 2000

I remember feeling very nervous in April 2000 and so many dot coms or bombs were imploding

was OP even alive in 2000 lol?  

even 2022 wasn't so bad, -20%
Market reacted to inflation and interest rates, not even Cape being too high in 2021


Bell_curve

BlokchainB

Today, the S&P 500’s cyclically adjusted price-to-earnings ratio (CAPE) is nearing historic highs, signaling market valuations may be in overheated territory.

In December 2024, the S&P 500 CAPE ratio stood at 37.9—well above its long-term average of 17.6. Notably, it has only exceeded this level during the Dot-Com bubble and in 2021.

This graphic from Picton Mahoney Asset Management shows the S&P 500 CAPE ratio since 1920.

Stacker_Stocks

> Today, the S&P 500’s cyclically adjusted price-to-earnings ratio (CAPE) is nearing historic highs, signaling market valuations may be in overheated territory.
>
> In December 2024, the S&P 500 CAPE ratio stood at 37.9—well above its long-term average of 17.6. Notably, it has only exceeded this level during the Dot-Com bubble and in 2021.
>
> This graphic from Picton Mahoney Asset Management shows the S&P 500 CAPE ratio since 1920.
>
> ![](https://m.stacker.news/77658)
>
> **[🔗 visualcapitalist.com](https://www.visualcapitalist.com/sp/the-bubble-indicator-is-the-stock-market-overheating/)**