> NASDAQ has closed over 5000... The trailing p/e of the NASDAQ index
> is 388.83... According to the Bloomberg Description Page, the market
> capitalization of the NASDAQ is $6.42 trillion...
Yep. Like Galbraith says, if ther's to be madness, there's something to be said for having it on a heroic scale.
And that 389 is the ratio to *reported* earnings. I'd like to know what's the ratio to anything resembling real profit.
>
>
> Time to bail out.
Why? I mean, why now? How's a 390 PE any crazier than 200 or 100, or any saner than, say, 1000? Do you think American households' credit lines are about to be tapped out?
>
>
> Brad DeLong
-- Enrique Diaz-Alvarez Office # (607) 255 5034 Electrical Engineering Home # (607) 272 4808 112 Phillips Hall Fax # (607) 255 4565 Cornell University mailto:enrique at ee.cornell.edu Ithaca, NY 14853 http://peta.ee.cornell.edu/~enrique