Overview

• The S&P 500 has surged about 30% from its April lows and notched 32 record closes by Oct. 6, while the Nasdaq has climbed roughly 50%.
• In a Rhode Island speech, Fed Chair Jerome Powell said “equity prices are fairly highly valued,” an unusually direct remark on stock valuations.
• Strong tech guidance and AI enthusiasm continue to propel gains, with the OpenAI–AMD partnership reviving bubble questions even as Goldman says conditions don’t meet that definition.
• The market trades near 25 times expected earnings as views diverge, with UBS projecting a 67% rise in 2025 AI capital spending and Research Affiliates warning U.S. equities remain overvalued.
• Reporting highlights a price pattern seen only three times in roughly 153 years, even as recent Fed rate cuts and broad earnings beats bolster risk appetite.