Compared to historical norms, Nasdaq market capitalization is significantly above median levels relative to GDP.
The Nasdaq’s median percentage of GDP has averaged 61.8%; its now over 100%. As the chart below shows, the big aberrational periods have been due Fed bubble inflation: first in 1998-2000; then more recently in 2006-07.
The present Zero Interest Rate policy (ZIRP) is helping to inflate a 3rd market bubble:
Chart courtesy of Ron Griess of The Chart Store.