“Once again, the pessimists have been confounded. The US market has now tripled since 2009, and has risen in a virtually straight line for over three years. And the VIX measure of equity volatility, a gauge of investor concern, is languishing near its long term lows at about 13.
Has the US market finally reached the point of over-exuberance? As Warren Buffet reminds us this weekend, market timing is always difficult, and it is particularly difficult to pick the top of a rampant bull market. But there are certainly increasing grounds to worry about the sustainability of the market’s advance in the rest of this year.”
There’s always grounds to worry.. it is increasingly difficult to make a ‘bubble call’ when interest rates are so low and deflation looms.. look at classic car prices.. there’s a bubble, but not when interest rates are so low.