The Stock Market Is Doing Something Witnessed Just Once Ever Before -- and History Has a Clear Answer on What Happens Next

Despite several ups and downs, the last five years have been nothing short of spectacular for stock investors. Since midyear 2020, the S&P 500 (SNPINDEX: ^GSPC) has produced a compound average total return of 17% per year, well above its historic average. The tech-heavy Nasdaq Composite (NASDAQINDEX: ^IXIC) has performed nearly as well, with a 16.5% average return.Those returns come in spite of two massive declines of 19% or more in the S&P 500 and 23% or more in the Nasdaq, in 2022 and 2025. Today, both stock indices trade at new all-time highs.But one stock-market indicator suggests the indices could be in store for another substantial decline in price in the not-too-distant future. It just reached a level seen only once before in history, and it has a flawless track record of predicting significant downside in stock prices.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool