The S&P 500 Is Making History to End 2025, But Is It Something Investors Should Celebrate or Be Worried About?

When something makes history in the stock market, it's always best to clarify if it's good or bad history. Sometimes, history can be comforting; other times, it can be concerning. Needless to say, both have very different implications.The S&P 500 (SNPINDEX: ^GSPC) is making history as one of the most expensive markets ever, based on the Shiller price-to-earnings (P/E) ratio, also known as the CAPE ratio.This metric looks at the S&P 500's earnings over the past 10 years, adjusting them for inflation to prevent one-off events from skewing the numbers. For example, an event like a drop in corporate profits during the COVID-19 pandemic's height wouldn't cause the ratio to spike and be misleading.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool