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It will not be over until stocks trade at attractive valuation levels.
"In October, stock prices reached their median valuation levels from 1957 through 2003," he said from his office in Minneapolis.
In Britain it is hard to see what can keep house prices above historical valuation levels.
House prices in the UK have not reached average valuation levels, let alone historical nadirs.
"It's healthy to bring the market down to valuation levels that people might be a little more comfortable with".
It is hard to remember a time when valuation levels were harder to determine, simply because earnings numbers are now in doubt.
"There's an enormous amount of cash and buying power on the sidelines, and valuation levels that certainly discounted a recession," he said.
And since we didn't really start from extremely cheap valuation levels, it probably means this bull market run will be smaller than normal, about a 50percentt move versus the 75percentto100percentcent move which is more typical.
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What if stocks reached a frothy valuation level?
"It has now reached the same valuation level as at the market top in 1929".
But this kind of valuation level allows investors to find individual stocks that look attractive.
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