Please make sure your browser supports JavaScript and cookies and that you are not blocking them from loading. Why did this happen? At 22.2 times its forward price-to-earnings ratio, the S&P 500's valuation is well above its long-term average of 15.3, according to Refinitiv Datastream, though several investors said stocks still look relatively inexpensive compared to bonds. Low yields and interest rates support equities in several ways, such as reducing debt and borrowing costs, making stocks look relatively attractive to bonds and helping increase the value of companies' future cash flows. Analysts at Nomura, meanwhile, said earlier this week that a move above 1.5% on the 10-year could spark an 8% drop in stocks.
However, some analysts said worryingly that maybe 15-20% of investors questioned would still look inexpensive.
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However , some analysts said worryingly that maybe 15-20 % of investors questioned would still look inexpensive .
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