Market cap versus GDP: The market capitalization of the universe of U.S. stocks, represented by the Wilshire 5000, totaled $35.2 trillion as of Tuesday’s close. Given the U.S. GDP of $19.5 trillion at the end of the second quarter, the statistic means that investors are paying $1.80 for every dollar of economic output, far exceeding the $1.67 they paid during the height of the dotcom bubble. In other words, despite the decline, stocks are still too expensive. #stocktalk