Janet Who? Ben Bernanke Says Stocks Aren’t Expensive

Ted

FYI: Ben Bernanke doesn’t seem to think the stock market is too frothy.

In his latest blog post for the Brookings Institution, the former Federal Reserve chair said the easy-money policies deployed during his tenure at the central bank have arguably only returned stock prices to “normal” levels.

Mr. Bernanke crunched the numbers and found that the S&P 500 rose by about 1.2% each quarter from the end of the 2001 recession through the fourth quarter of 2007–the pre-crisis business cycle peak. If the S&P had continued to climb by that same rate, Mr. Bernanke’s math tells him the S&P 500 would have sat at about 2123 in the first quarter of this year. That’s three points above its first-quarter top of 2120 in February and 55 points higher than where the index finished the first three months of the year at 2068
Regards,
Ted
http://blogs.wsj.com/moneybeat/2015/06/02/janet-who-ben-bernanke-says-stocks-arent-expensive/tab/print/

Chairman Federal Reserve Board 2006-2014:

2006: S&P 500 15.61%
2007: " " 5.38%
2008: " " -36.55%
2009: " " 25.94%
2010: " " 14.82%
2010: " " 2.10%
2012: " " 15.89%
2013: " " 32.15%
2014: " " 13.48%

scott

One thing I do agree with Bernanke on:
http://www.cnbc.com/id/102728250
US Congress pushed China towards AIIB: Bernanke

Ted

@Scott: Ben Bernanke was the best Federal Reserve Chairman in my lifetime. As showen in the above link duening his tenure the S&P 500, the market's proxy, was up 8 out of nine years for a. 888% batting average. He helped me make a lot of money !
Regards,
Ted