Though the stock market has generally continued its upward trend so far in 2026, cracks may be appearing. A slowing labor market, the risk of an AI bubble collapse, and a Cyclically Adjusted Price-to-Earnings (CAPE) ratio around 40 all suggest that a crash may be looming for a market that is potentially overvalued.
Many investors had seized on the precious metals rally as a way to reallocate portfolios toward a more defensive position. However, the late-January hiccup in the prices of many key metals might inspire more cautious investors to seek protection elsewhere.
