The $SPX dividend yield just hit 1.04% — the lowest ever recorded.
This tells you everything about where we are in the cycle. Investors are paying massive premiums for growth and price appreciation, not income. Dividends? Who cares when stocks just go up.
Historically, sub-1.5% yields have marked late-stage bull runs. Not saying it ends tomorrow, but this is textbook euphoria territory. When everyone's chasing gains and ignoring yield, that's when you should be most cautious.
Keep this number in mind when people ask "are we in a bubble?"
This tells you everything about where we are in the cycle. Investors are paying massive premiums for growth and price appreciation, not income. Dividends? Who cares when stocks just go up.
Historically, sub-1.5% yields have marked late-stage bull runs. Not saying it ends tomorrow, but this is textbook euphoria territory. When everyone's chasing gains and ignoring yield, that's when you should be most cautious.
Keep this number in mind when people ask "are we in a bubble?"