Key Points In September, Fed Chair Jerome Powell warned that stocks were "fairly highly valued" by many measures; other Federal Reserve officials have since made similar comments. The S&P 500 has historically performed poorly ahead of midterm elections, but the index usually delivers robust returns during the six months following them. The S&P 500 currently trades at 22.2 times forward earnings, an expensive valuation that has always (eventually) coincided with a steep decline in the index. 10 stock ...