In order to get the decimal point to the right of a number, I had to multiply AMEX:SPY by 1,000,000,000,000 or 1 Trillion.
The price of the market is unchanged since January 1997 with the adjustment.
That is an incredible 26 years where prices haven't bean 'inflation as measured by the quantity of money' floating around in the banking system.
Nominally, our purchasing power if stored in stocks has been maintained over that time period, which is good.
BUT, if you think you are wealthier over these last 26 years, it may be because of your ability to pick stocks that do better than the market overall. The Nasdaq likely did far better than the S&P500, for example.
321 months sideways and plenty of deviation around the level we are at now.
I have adjusted other charts for inflation to make a point and I wanted to add this one, which is more aggressive, to the bunch.
I tried contacting you, but i don't fit the criteria. I don't even have 1 friend outside the internet. The internet is no different. You're one of my heros. I've watched all your available oldies on youtube. Your videos turned me on to the market, so most of what I learned came from you.
timwest
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@luckysix30, Glad you found TradingView and my charts here. I am always in the Key Hidden Levels chat room if you want to join us there!
Thanks Tim, great work! It looks like it's trending to cross over doesn't it, maybe 24.0 or 26.0 is in store for the future. (I hope 🙏)
Arm_27
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This is amazing insight, thank you Tim. Much appreciated!
btcgene123
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this is a good way to think about it. Purchasing power terms. Most did not hold 100% stocks, means they got their value destroyed a lot more than this chart shows.