High Valuations, Little Stimulus. Time For A Pullback?
Due to high valuations and less supportive Federal Reserve policies, Jim Paulsen of The Leuthold Group forecasts a 10% to 15% fall next year. However, due to ongoing solid GDP and profit growth, he anticipates a large market setback to be temporary.
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When Is A Stock Overvalued?
How can we see if a stock is overvalued? It doesn’t need to be complex and investors can do a great job by tracking the evolution of a stock’s Price To Earnings ratio (for profitable companies) or Enterprise Value To Sales ratio (for growing companies).
Sovereign Pivot
The conventional framing of global economic power tends to focus on trade balances and manufacturing output. This perspective misses a more consequential asymmetry.
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The grand European project, born from the ashes of war, was built on a promise of shared prosperity and cradle-to-grave security.