Jeremy Grantham warns markets are priced for perfection

Jeremy Grantham is warning that the current market is priced for perfection in a world that is far from perfect.
His concern is that investors are treating a narrow, liquidity-driven rally like a permanent new paradigm.
The setup is familiar: expensive valuations, heavy concentration in mega-cap tech, and a market convinced that this time is different.
Grantham’s message is not that bubbles are easy to time.
It is that history becomes unforgiving when prices detach too far from fundamentals.
The risk is that investors try to capture the final upside of a historic rally, then discover too late that everyone wants the exit at the same time.