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Traders work on the floor at the New York Stock Exchange.
Traders work on the floor at the New York Stock Exchange.
(Seth Wenig/AP)

As S&P 500 nears peak, investors should ponder two prior asset bubbles

Will the third time be the charm?

The S&P 500 has made two previous assaults on the 1,600 level since 1995 only to fall back each time.

The world’s most widely followed stock market benchmark now stands at about 1,560 – remarkably close to the 2000 peak of 1,527.46 and the 2007 high of 1,565.

While the current rise may yet prove to be more durable than its predecessors, there’s ample reason for concern. At least one high-profile observer sees the market entering a multiyear period in which big swings will be the norm.