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Friday, April 26, 2024

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  1. phil

    OK, I'm back!

    Doesn't look like the market moved very much.  Oil still $99.27 with the Dollar at 80.12 but gold is just sad at $1,202.30.

    VIX shot up to 13.50, TLT hugging 102.47.

    Happy New Year ZZ – enjoy your vacation!

    Total Market Index/Pstas – Be careful with that, it's a selection of 12,000 stocks but with super-stocks like AMZN, GOOG, WYNN, TSLA punching up crazy values – it's hard to know what these indicators really mean anymore.  

    Based on these historical valuations, we have divided market valuation into five zones:

    Ratio = Total Market Cap / GDP Valuation
    Ratio < 50% Significantly Undervalued
    50% < Ratio < 75% Modestly Undervalued
    75% < Ratio < 90% Fair Valued
    90% < Ratio < 115% Modestly Overvalued
    Ratio > 115% Significantly Overvalued
    Where are we today (12/29/2013)? Ratio = 116%Significantly Overvalued

    Still, very interesting, thanks.



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