Fund managers say Australia’s sharemarket is still too expensive despite investors erasing about $283 billion in market value since the peak in February on fears of a global recession.
And while the sell-off has pushed the S&P/ASX 200 Index into correction territory and spurred buying of ASX-listed shares, the gauge is trading at an average of 17 times earnings – down from 23 times earlier this year – but well above the pre-COVID-19-pandemic average of 14 times.
Stocks, bonds, currencies, and commodities have all taken a beating this month on growing concerns that an escalating trade war between China and the US could stoke inflation while slowing global economic growth.
Source: https://www.afr.com/markets/equity-markets/fundies-say-asx-still-too-expensive-despite-correction-20250414-p5lrj3