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It looks like 'Y2K all over again' for stocks as evidence of an imminent crash continues to pile up

Business Insider   

It looks like 'Y2K all over again' for stocks as evidence of an imminent crash continues to pile up

  • Today's market is facing a growing number of alarming comparisons to the dot-com era.
  • The most recent observation, from Leuthold Group, relates to the jagged, uninspiring recovery by US stocks since their 11% correction earlier this year.
  • Other bearish parallels - specifically those relating to valuation - tie into arguments raised by the reputed market bear John Hussman, who sees a 67% stock-market drop brewing.

As stock-market valuations have swelled to within striking distance of all-time highs, many experts have been hesitant to compare the situation to the tech bubble.

Not Leuthold Group.

In fact, to those at the Minneapolis-based firm, the comparisons keep piling up.

Leuthold's latest observation comes from recent research, titled "Y2K All Over Again?" The report assesses the S&P 500's difficult and erratic recovery from its 11% correction suffered in February. It notes that the choppy, six-month rebound since then has eerily mirrored the five-month upswing that followed the equity meltdown of March-April 2000. ...

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