Eddy Elfenbein submits: Thanks to Wednesday's surge, the P/E ratio of the S&P 500 is up to 16.87 (I use smoothed operating earnings). That's the highest it's been since August 2005.
It's hardly excessive, but we're starting to see the impact of slower earnings growth. At the start of the year, first-quarter earnings were projected to be up 8.7%. They'll probably be up 4% to 5%. Fortunately, most of the damage is confined to the autos and homebuilders.