| The U.S. overvaluation actually extends beyond the New Economy stocks of technology, media and telecoms. |
| Our basic thesis is that this cyclical bull market has further to run because bull markets do not end at fair value, they end at overvaluation. |
| Nonetheless, the percent difference between the two series reveals much less overvaluation than suggested by the ratio of house prices to rent. |
| Countries followed imprudent policies that favored monopolistic crony capitalists, inflation that magnified poverty and currency overvaluation. |
| Unfortunately, plenty of investors develop the nasty habit of boasting of their gains instead of contemplating possible overvaluation concerns. |
| A period of strong performance leads to overvaluation, from which subsequent returns are inevitably disappointing. Has that stage arrived? |
