When The Markets Finally Go Off 'Autopilot'

Equities trade at extreme valuations as measured by the Shiller PE, despite a market hiccup in 2026. Long-term equity performance has benefited from persistent tailwinds (e.g., supportive rates/policy) over decades, but valuations heighten vulnerability to periodic major selloffs and downside risk.

Analysis

Equities trade at extreme valuations as measured by the Shiller PE, despite a market hiccup in 2026. Long-term equity performance has benefited from persistent tailwinds (e.g., supportive rates/policy) over decades, but valuations heighten vulnerability to periodic major selloffs and downside risk.