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139% Above Its Mean. Every Prior Peak Collapsed."
This is the Q Ratio — the broadest measure of US stock market valuation vs. the replacement cost of assets.
Right now? 139% above its long-run average.
We just touched 147% — above the 3 Standard Deviation line.
Here's what history shows every single time this chart got extreme:
1929 peak → -64%
1937 peak → -64%
1968 peak → -65%
2000 dot-com peak → bottomed at -18% (cushioned by Fed intervention)
Mean reversion isn't a theory. It's the most reliable pattern in 120 years of market data.
The arithmetic mean is 0.84.
We are not at 0.84.
Markets don't stay at 3 standard deviations.
They never have. The only question is timing!
Source: VettaFi / Advisor Perspectives — February 2026

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