A Simple Demographic Chart That Says Market Valuations Are Going Down

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		Tech Entertainment Wall Street Markets Strategy Sports Lifestyle Politics Europe Video Latest Monday, September 19, 2011 A Simple Demographic Chart That Says Market Valuations Are Going Down This could be an example of seeing two lines that moving similarly, and thinking there's a connection, or maybe there's some real insight here... Either way, in a note today, Citi's Tobias Levkovitch looks at the M/O ratio, which is the ratio of the middle-aged (40-49 year old) cohort vs. the old-age (60-69) cohort,a nd notes an interesting similarity between that ratio and S&P PE ratios. Not surprisingly (we supposed) as the number of high earnings/high consuming middle-agers rises and falls in relation to old agers, stock market valuations rise and fall. And if you believe the inexorable move in the red line (down), then you'd surmise that PEs are going lower as well. Read » Also On Money Game Today: BRAND NEW NUMBERS: Here's Who Will Get Slammed If Greece Goes Bust NOURIEL ROUBINI: This Is How To Prevent A Depression How Exposure To Greece Has Changed In The Last year A Big Open Secret Regarding The Market And Operation Twist Advertisement CHART OF THE DAY: FINALLY, Investment Advisors Are Capitulating And Buying Gold CHART OF THE DAY: Gold Plunges On Day Of Massive Global Money Printing CHART OF THE DAY: Stocks Are Experiencing Deja-Deja-Vu Share this: Facebook Twitter Digg Reddit StumbleUpon LinkedIn The email address for your subscription is: dwyld.kwu.wyldside@blogger.com Change Your Email Address | Unsubscribe | Subscribe | Subscribe to the Money Game RSS Feed Business Insider. 257 Park Avenue South, New York, NY 10010 Terms of Service | Privacy Policy

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