S&P 500 faces potential correction as valuations climb

7 articles · Updated · The Motley Fool · May 7

The index has surged more than 30% in 12 months and now trades near a record high at about 31 times earnings.
The report says investors should expect valuations to cool, but century-long data suggests any pullback would likely be temporary rather than a reason to sell index funds.
Including predecessor indexes, the benchmark has gained roughly 56,780% over 100 years, outperforming inflation despite wars, the Great Depression and multiple global recessions.

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