Like everyone, I watch the Buffett Indicator (Total market cap / GDP) to keep an eye on market value. As it gets particularly high, I reduce or even stop reinvestment based on a childishly simple formula. As best I can tell, all but the most novice investors monitor the Buffett Indicator. This is new, since the last crash. I wonder how much the BI will affect market dynamics. It will have a cooling affect on hot markets that might otherwise overheat and blow up. Do you think the nature of crashes/corrections is going to change or perhaps has changed? I look forward to reading the insight of others.
