Even Compares to the crazist 2000 S&P500 is overvalued
During the holidays, I'll be holding onto cash. My target for the $S&P 500(.SPX)$
Considering the current market environment, especially the high valuations of tech stocks, there are still some uncertainties. Compared to 2000, the market today appears even more frenzied, with overall stock valuations surpassing those of that time.
Then, there were many deeply undervalued value stocks in the market, whereas now, most of the passive holdings in the S&P 500 have reached 50%, reducing the capacity for price discovery. Additionally, it's challenging to find significantly cheap investments in traditional sectors, as highlighted in Buffett's recent annual report.
Moreover, in 2000, there were some wildly speculative tech stocks, many unprofitable, but with market caps of only 4-5 billion or at most 10-20 billion.
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