Estimating The Downside
BACK TO THE MEDIANS (1957 To Date): S&P 500 19% Downside
The S&P 500 lost 1.82% in October. Based on the 1957-to-date valuation metrics presented, the potential downside to its historical average narrowed by 1% from last month’s –20% reading. The S&P Industrials’ (excludes Utilities and Financials) downside to mean valuation also “improved” by 1% (to -32%)from last month’s reading.