Saturday, December 25, 2010

Is This Stock Market Rally Long in the Tooth?

prieur du plessis Prieur du Plessis submits:

The chart below, courtesy of Chart of the Day, compares the inflation-adjusted S&P 500 performance during the current secular bear market (the inflation-adjusted S&P 500 peaked in 2000) to the that following the peak of 1929 (i.e. during the Great Depression).

The S&P 500 for both 2000 to present (blue line) and 1929 to 1949 (gray line) have been normalized to where each of the peaks begins in year zero and at the $100 level.


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