Skip to content

Valuation, History, Bursting Bubbles: In Search of the Floor

  • Need to see valuations come in more before we bottom: Gokhman
  • FOMC’s meeting this week is a ‘fork in the road,’ says Miskin

Trillions have been zapped, major indexes corrected and one hellish week was followed by a manic Monday and another selloff Tuesday. People trying to reckon when the pain might end are worried.

It’s an age-old exercise in semi-futility, trying to pick the bottom in a market that showed itself capable of swerving by multiple percentages, multiple times a day. While nobody could have any precise idea where the floor lies amid volatility that by one measure reached the most in 21 years yesterday, frameworks are emerging for how to think about the many forces acting on sentiment and to estimate how things could go.