As 2025 winds down, you’ll in all probability learn loads of articles remarking how worldwide inventory indexes have outperformed US inventory indexes just like the S&P 500 by a major quantity this yr. This hasn’t occurred shortly! But, the next chart reveals that the hole in valuations continues to be very broad.
PE10 stands for the ratio of value to 10-year common trailing earnings (AKA CAPE ratio, or cyclically-adjusted P/E ratio) which makes an attempt to easy out earnings spikes. Picture by way of TopDownCharts.