Since the election, often I've come across articles about the analogy between the 1980 period and now. There's the opinion that Trump's term might start a bull market similar to that of the 1980s during Reagan's presidency. That time saw a 113% increase in the S&P 500. I understand that there are analogies between what Trump promised to undertake and what Reagan did - political action which looks very positive for the economy and as well for the stock market. However, in a completely different state of the economy and the financial markets, the same "good" actions won't bring the desired results. There's a range of important input factors for the behavior of an economy which are in a different set compared to when Reagan took office. Let's see below.
1. Stock market valuations
Current valuations are high and it doesn't look as if there is much room for further…