A notorious market bear says investor positioning remains inconsistent with prior market bottoms and valuations linger at ‘historically extreme’ levels

• John Hussman says he expects stocks to end the bear market down 50-70%.
• Hussman said while investor sentiment is bearish, positioning is still too bullish.
• The S&P 500 is down around 24% this year. 

Even as stocks endure one of their worst years on record — the S&P 500 is down 24% since its January 3 peak — valuations remain “historically-extreme,” says John Hussman. 

According to Hussman, the president of the Hussman Investment Trust who called the 2000 and 2008 crashes, the most reliable valuation measures for predicting future returns are still around levels seen during the dot-com bubble over two decades ago.