In 2025, the Dow Jones Industrial Average, S&P 500, and Nasdaq Composite have experienced significant volatility. A key valuation tool indicates that this stock market is one of the most expensive since 1871. Despite the potential for turmoil, long-term investors can find hope in this situation. Recently, the S&P 500 endured its fifth-steepest two-day decline in 75 years, followed by a significant rebound. The Shiller P/E ratio, a historically reliable predictor, is at a multiple of 38.26, signaling potential trouble for the market. However, bear markets can present buying opportunities for patient investors.
Read more at Nasdaq: One of Wall Street’s Flawless Stock Market Predictors Is Knocking on the Door of History — and Not in a Good Way