From Jamie Powell writing at FT Alphaville:
US equities: tick, tick, tick
The US equity markets are ebullient. The Dow sits just 0.08 per cent off its all-time high, the S&P 500 1.1 per cent and the Nasdaq 2.7 per cent. The Schiller PE — a popular metric that compares the average inflation-adjusted earnings of the S&P 500 from the past 10 years to its current price — sits at 39.6, the second highest on record behind the early 2000 mania of the dotcom bubble.....*****....The markets, on the surface, seem to be roaring. But as we noted on Friday, something seems to be going on below the surface. The field of gainers is getting narrower and narrower, with a few big winners keeping the rest afloat.Don’t take our word for it....
....MUCH MORE
