How to Justify Trading in the SMP 500 During a Cyclical Downturn

The SMP 500 bottomed in October at 15 or so times, which is the sort of multiple that you would expect just to have right at a cyclical downturn like that. The average 10 year yield has been over that 10 or five year period and that makes no sense. And I still hold that the 2020 2021 period was a bubble. So when we think about anchoring to those levels, sure, we can go back up to those levels,. But I have to count on having liquidity be that abundant to justify me trading there.

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