Stock Valuations Should Worry Investors: Abby Joseph Cohen

Abby Joseph Cohen warns that lofty U.S. stock valuations are pricing in perfection, leaving little room for error. She points to weakening job creation as a key risk that could undermine economic strength. Her message is one of caution for equity investors given the combined pressure of stretched valuations and a softening labor market. - U.S. stock valuations imply a perfect economic backdrop, according to Abby Joseph Cohen. - She argues that when assets are priced to perfection, investors should be concerned. - Job creation is highlighted as a weak spot in an otherwise solid corporate environment. - The former Goldman Sachs partner urges caution toward equities given these dual risks.