The S&P 500 Is Doing Something It Hasn't Done Since 2000. Here's What History Suggests Could Come Next.

The S&P 500 Is Doing Something It Hasn't Done Since 2000 underscores how the Shiller CAPE ratio has reached an extreme level in June 2026. The Shiller CAPE, which compares current stock prices to inflation-adjusted earnings over the prior decade, stood at 40.96, a value touched only once before in modern market history—between late 1999 and early 2000. The article links that prior peak to the tech bubble burst, when the S&P 500 fell by half and the Nasdaq-100 dropped by 80%. It cautions that CAPE should not be treated as an automatic sell signal, noting that using CAPE thresholds would have caused investors to miss major gains. It also points to history where markets can keep rising even after CAPE records, referencing that the Nasdaq-100 rose more than 100% in 1999. Finally, it cites U.S. earnings growth expectations of more than 20% year over year in Q1 and anticipated continuation into Q2, affecting how corrections may unfold.