A Quick Look at the Stock Market

The Wall Street Journal is breathless yet again because the Dow has crossed another threshold with three zeroes in it:

Just 30 days! Of course, that’s how things go with an exponential series: the time between fixed intervals gets smaller and smaller. For your viewing pleasure, then, here’s a less dramatic take on the stock market over the past seven years:

There you have it. This is not the Dow, it’s the S&P 500—which is a better measure—but they’re pretty much the same. The market has been growing at a fairly steady 11 percent per year ever since the Great Recession ended. There’s really nothing very special going on right now. In case you’re interested, here’s the P/E ratio since 2004:

It’s starting to look a little pricey. The last two recessions began when the P/E ratio was at 26.1 (March 2001) and 22.4 (December 2007). It’s currently at 25.5

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THE TRUTH...

is the first thing despots go after. An unwavering commitment to it is probably what draws you to Mother Jones' journalism. And as we're seeing in the US and the world around, authoritarians seek to poison the discourse and the way we relate to each other because they can't stand people coming together around a shared sense of the truth—it's a huge threat to them.

Which is also a pretty great way to describe Mother Jones' mission: People coming together around the truth to hold power accountable.

And right now, we need to raise about $400,000 from our online readers over the next two months to hit our annual goal and make good on that mission. Read more about the information war we find ourselves in and how people-powered, independent reporting can and must rise to the challenge—and please support our team's truth-telling journalism with a donation if you can right now.

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