On November 5th, the Buffett Index stood at 221.95%, a significant drop from the previous day, hitting a new low since July. However, from a longer-term perspective, it remains severely overvalued. The S&P 500 Equity Risk Premium (ERP) was 5.75%, a new high since April, placing it in a relatively neutral zone. Considering both indicators, from a long-term perspective, the cost-effectiveness of investing in US stocks is generally lower than that of US bonds.
