The Warren Buffett Indicator just crossed 230%, a level that has historically signaled extreme stock market overvaluation.
This indicator compares the total stock market value to GDP and is widely used by long-term investors and economists to judge whether markets are cheap or expensive.
📊 At 230%, the market is flashing a strong warning sign:
• Overvaluation risk
• Lower future returns
• Possible correction or recession fears
But remember — overvalued doesn’t mean an immediate crash. Smart investors focus on risk management, asset allocation, and long-term strategy, not panic.