As of August 12, 2025, the Warren Buffett Indicator has surged past 212%, marking its highest level on record.
US market cap twice US GDP.
US debt hits $37T — surpasses entire $31T US GDP,
matches combined GDP of China, Germany, Japan, India & UK.
The Buffett Indicator, or Market Cap-to-GDP ratio, rose to prominence as a long-term stock valuation metric following Warren Buffett’s 2001 'Fortune' interview, where he called it "probably the best single measure of where valuations stand at any given moment."
The 2000 dot-com bust and the 2007 crash may seem mild by comparison.
The ratio compares US public market cap to GDP using the Wilshire 5000 Index, covering nearly the entire stock market.
