Overdue. I’m surprised a correction took this long. That said, I believe investors have priced in the expected drop in equity prices - meaning the price-to-earnings ratio, in most cases, won’t greatly affect the value of a stock.
That said, this could eventually be an aid to infrastructure spending - as investors grow skittish on stocks, they will look for safe havens in corporate and muni bonds.
The market is flush with cash, fueling talk of hiking interest rates. This probably accelerates that
https://www.marketwatch.com/story/is-the-stock-market-overpriced-2017-01-03
This is OK with low interest rates, but the interest rate just jumped due to the predicted growth rate of 3% +