Core Insights - Apollo Global Management's chief economist, Torsten Sløk, has raised concerns about high market valuations, indicating a potential bubble in the stock market [1][2] - The "Warren Buffett indicator" and the Shiller cyclically adjusted price-to-earnings ratio have shown significant increases, with 2025 being highlighted as an outlier [2] - The S&P 500 is currently at historically extreme valuations, raising alarms among analysts [2] Market Sentiment - UBS's chief investment officer, Mark Haefele, noted that while high valuations do not guarantee an imminent correction, a downturn could occur if corporate profit growth disappoints [3] - CEOs of Goldman Sachs and Morgan Stanley have predicted a 10-20% market correction within the next two years, advising investors to prepare for a downturn [4] Recent Market Movements - A significant drop in global tech stocks, including a nearly 20% decline in SoftBank Group shares, has intensified fears of a market bubble [5] - The selloff of overbought tech stocks, particularly Palantir Technologies, has erased more than $500 billion in market value in a single day, indicating a shift in investor sentiment [5] Performance Metrics - Over the past six months, the SPDR S&P 500 ETF Trust (SPY) and Invesco QQQ Trust ETF (QQQ) have increased by 19.45% and 26.56%, respectively [6]