Nothing’s Cheap Anymore

Day after day, we are bombasted with asset-gatherers, academics, and status-quo-huggers demanding we BTFATH as ‘stocks are still cheap…” Some have even deferred modestly to the old standby “stocks are ‘fairly valued'” in a last lame effort to save what credibility they have left when they look themselves in the mirror. The fact is – no, stocks are not cheap (as we pointed out here, they are more expensive than at the peak of what Jim Bullard called an obvious bubble). However, still the shrill call of ‘stock-picker’s market’ rings out to encourage the placement of hard-earned savings into easily commissioned AUM. The fact is – as the 3 charts below show – nothing is cheap – Nothing!

 

There has never been so few (almost zero) stocks that are ‘cheap’ based on historical valuations…

 

Especially not in the USA…

 

More conservative? Prefer fixed income than risking capital in equity markets… nope, nothing cheap there either!

 

Reach for yield? Rational exuberance? Call it what you want… it won’t end well

 

Charts: Goldman Sachs




via Zero Hedge http://ift.tt/1je8Nvd Tyler Durden

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