David Rosenberg of Rosenberg Research warns of potential negative S&P 500 returns due to high valuations, with the Shiller CAPE ratio at its third-highest level ever. While Rosenberg’s predictions don’t always come true, his data suggests caution. Valuations are historically high, leading to potential poor short-term returns. Job growth has been weak, with 911,000 fewer jobs than previously thought. Rosenberg believes the economic outlook will worsen, with initial jobless claims rising and stocks nearing bubble territory despite negative fundamentals.

Read more at Yahoo Finance: Famed economist warns extreme stock valuations point to negative returns ahead