Three warning signs that preceded major stock market crashes are all flashing red right now, according to The Motley Fool. The Buffett indicator, which compares total U.S. stock market value to GDP, has risen above 200%, far exceeding levels seen before the dot-com crash and the Great Recession. Household debt hit a record $18.8 trillion in the first quarter, surpassing the $12.7 trillion peak before the 2008 crash. The Shiller CAPE ratio for the S&P 500 has climbed to 41, the second-highest valuation on record, driven by concerns that AI spending may be a bubble.
