Valuation metrics such as the Cyclically Adjusted Price-to-Earnings (CAPE) ratio and the Buffett Indicator are trading near historical extremes. These elevated readings indicate that U.S. equities are priced at exceptionally rich valuation levels, heightening the probability of a valuation-driven correction. The question is whether the market’s long-term structural trend corroborates this risk. An analysis of the S&P 500 since 1932 reveals that the index has spent approximate