[SkyPilot]

The indicator showed stocks were seriously overvalued before the market peaks of 2000 and 2007 — but it has also suggested stocks have been overpriced for the past several years, while prices have continued to rise. That prompted several attacks on the Cape, saying it did not take account of changing accounting and tax rules over time, and it was distorted by the sharp fall in earnings that followed the Lehman Brothers bankruptcy in 2008.

Get ready folks.

Stocks could drop 30 - 40% if the Fed raises interest rates even a very small percentage.

US interest rate rise could trigger global debt crisis

This would essentially be a doubling of the interest rate for the "free money" gang, and it would signal to the money gamblers and Central Bank teat suckers that the gravy train is over.

[RIghtwardHo]

Been reading this headline, with variations, for 50+ years.

[Jack Hydrazine]

I’m thinking the next crash will cause the Dow Jones to lose about 10,000 points, possibly more. You heard it here first from The Hydrazine!

[Moonman62]

The Nobel economics laureate told the Financial Times that his valuation confidence indices, based on investor surveys, showed greater fear that the market was overvalued than at any time since the peak of the dotcom bubble in 2000.

...

Bear markets don’t happen until the Federal Reserve says so with interest rate hikes. They haven’t even begun yet, and the market usually doesn’t tank until they’ve done multiplle hikes and inverted the yield curve.

[Moonman62]

Prof Shiller added there was no historical evidence for a link between interest rates and share prices. “You would think that when interest rates are higher people would sell stocks, but the financial world just isn’t that simple.”

...

What matters is how artificially high the Fed raises rates compared to what the market rate should be. The absolute value of the interest rate doesn’t matter as much.

When the yield curve gets inverted the financial system starts to lock up.