VTI - This Doesn't End Well
2024-06-28 13:12:38 ET
Summary
- The Nasdaq and S&P 500 have performed exceedingly well since the last market bottom in late October of last year, hitting one all-time high after another.
- However, the advance has been exceedingly top-heavy and key metrics are pointing to a significantly overvalued market.
- This is especially true as economic growth has slowed considerably in recent quarters, and one could argue much of the economy is already in recessionary territory.
- We go through the economic numbers and what might lie ahead for the equity markets in the paragraphs below.
The Nasdaq (COMP.IND) and S&P 500 (SP500) have had fine years to date. So far, both major indices are up in the mid-teens here in 2024. As I noted in an article earlier this week, the rally has been extremely top-heavy, with AI juggernaut Nvidia Corporation ( NVDA ) accounting for approximately one third of the overall market's gains to date. ...
This Doesn't End Well