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Stockman asked: "How could the S&P 500 be trading at its highest multiple in 70 years when the growth rate of corporate earnings has been sinking for more than two decades?"
"The recent S&P index value implies a PE multiple of 36.8Xa place theS&P 500 has never been before."
"The forward PE is now above the record high reached during the dot-com madness at the" end of the 1990s.
In calendar year 2020, corporate earnings crashed. They're "23% (below) their 2019 peak."
Yet market valuations are at levels that suggest double-digit earnings growth ahead despite evidence indicating protracted economic Depression, mass unemployment, along with reduced business and consumer spending.
In today's world gone mad, what was unimaginable during my long ago boyhood, adolescence and youth is happening in real time.
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