Below is a chart showing global equity market valuations, as produced by Bespoke Investment Group. Canadian stocks are currently fetching a P/E of 13X, and given Canada's relatively stronger economic fundamentals, from a fiscal and banking industry standpoint, and its significant commodity complex, are relatively attractive. It is notable that Canada's P/E was around 9X back at the beginning of March, so the strong rally since has aided significant P/E multiple expansion off the lows.
Bespoke: As shown, Russia currently has the lowest P/E ratio at 6, followed by Italy (10) and France (11). At 14, the US is more attractive based on its P/E ratio than most countries. Taiwan has the highest P/E at 60, and the UK is surprisingly bad at 34. It's valuation is worse than China's. Germany also has a very high P/E ratio at 27.
Where is Japan on your graph of country P/E ratios?
In Japan, the world's second-largest market, there is no trailing p/e ratio even to report. That's because the nation's publicly listed companies are collectively operating in the red.
Pasted from http://www.forbes.com/forbes/2009/0713/stocks-treasury-corporate-debt-case-for-bonds.html
What is Bespoke using for their calculations? For example, the U.S. stock market (using S&P500) is showing an operating P/E of 21.17 and a reported P/E of 132.50 ( as of March 2009). Even all of the S&P estimates into 2010 have a P/E above 25.(www2.standardandpoors.com/spf/.../SP500_EPS_DIV_20090618.XLS)
Also, if you use Robert Shillers earnings estimate of average inflation adjusted 10 years of earnings the P/E is currently 15.88.