The Buffett Indicator reaches 223%-230%, hitting a record high

On January 11, according to Barchart data, the Buffett Indicator (the ratio of the total market capitalization of the US stock market to GDP) is approximately 223%-224%, with some data sources showing it close to 230%, reaching a record high and surpassing the peak of the internet bubble in 2000 (about 150%) as well as the post-pandemic high in 2021. The long-term average value of this indicator is around 80%-100% (since 1970), and a range of 100%-120% is considered a reasonable valuation interval. The Buffett Indicator is one of Warren Buffett's most valued overall market valuation metrics and is known as "the single best measure of where valuations stand at any given moment."