Alarm Bells Ring: US Stock CAPE Ratio Hits 25-Year High Amid AI Frenzy, Echoing Bubble Fears
The US stock market's CAPE ratio has surged to its highest level in 25 years, nearing the dot-com bubble peak, driven by AI euphoria. While today's AI leaders have stronger fundamentals than the dot-com era's unprofitable firms, extreme market concentration and uncertainties around rates and AI monetization pose significant risks of valuation correction and volatility.
Read More