Wall Street Is Set to Enter 2026 With the 2nd Priciest Stock Market in 155 Years -- and History Offers a Dire Warning for Investors

For the better part of the last 16 years, the U.S. stock market has been unstoppable. Outside of the COVID-19 crash, which lasted five weeks, and the 2022 bear market that endured about nine months, investors have been basking in long-lasting bull markets.This year, we've witnessed the broad-based S&P 500 (SNPINDEX: ^GSPC), growth-propelled Nasdaq Composite (NASDAQINDEX: ^IXIC), and iconic Dow Jones Industrial Average (DJINDICES: ^DJI) all rally to several record highs. These gains have been fueled by the evolution of artificial intelligence, the expectation of future rate cuts by the Federal Reserve -- lower interest rates make it less costly for businesses to borrow, which can act as a catalyst for hiring, innovation, and merger and acquisition activity -- and better-than-expected corporate earnings.While the sky may be the limit for stocks, history provides two differing perspectives. Although stocks have delivered the highest average annual return of any asset class over the last century, these gains aren't achieved without hiccups along the way.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool