History warns: only twice has CAPE exceeded 37. Proceed cautiously. Markets rarely sustain such peaks.
A CAPE ratio of 37.0 feels like walking into a storm with no umbrella. The fact that it’s only been higher twice in history says it all—this is rare air, and it’s hard to breathe up here. The stock market's CAPE ratio is clocking in at 37.0. It has only been higher than this twice …