Here is a chart of the S&P500 adjusted for inflation using the Consumer Price Index, which is released monthly by the Bureau of Labor Statistics. What still stands out to me is the consistency of the lower lows and lower highs since the year 2000. Hardly the uptrend and bull market that we hear about so often.
You rarely see a chart like this because the “all-time high” headlines are so much sexier. No one likes to add the,“But in real terms we’re still far from it”. Who wants to buy a newspaper that says that? I know I wouldn’t. But fortunately I’m not in that business and I can share with you guys any chart I want. And I think it’s important that when I speak with investors, they understand how in Real terms, not only is the S&P500 not at all-time highs, but actually down 20% over the last 13.5 years. It’s all about purchasing power isn’t it? Or in this case, the lack there of?