Profit Perspective
12/02/2013 | | Dow Jones, Dow jones inflation adjuster, Economic forecasting, Eisenberg and housing economics, Eisenberg and public speaking, Elliot eisenberg, Graphsandlaughs, MLS, Multiple listing service, P/E Ratio, Public speaking economist, econ70, economist on TV, economist on radio, eisenberg and economics, funniest economist, funny housing economist, graphsandlaughs and eisenberg, housing sales, mortgage banking, politics and economics, trailing P/E Ratio
When the Dow Jones Industrial Average hits 16,220, it will hit a new inflation-adjusted all-time high. While the Dow is up 37% since its tech bubble high of 11,722.98 of 1/14/00, the CPI is up 38%. Of course, back in 2000 corporate profits were $482 billion while in 2012 corporate profits were almost $1.8 trillion. While the trailing P/E ratio is about 16.59, back then it was an astonishing 26.