Stocks rise again as investors look like entering “euphoria stage”

Markets rose on Monday.

The S&P 500 rose 0.2 percent to a record high, the STOXX Europe 600 rose 0.3 percent and the Shanghai Composite rose 0.5 percent.

Michael Hewson, chief market analyst at CMC Markets UK, wrote in a note that “investors continue to appear to be happy to push this bull market even higher, despite some misgivings that, particularly in the case of U.S. markets valuations remain stretched”.

Indeed, MarketWatch reported that the latest AAII investor sentiment survey last week showed that 59.8 percent of polled investors are bullish on the stock market, the highest level in about seven years.

Morgan Stanley, which had said a year ago that investors “would finally enter the euphoria stage in 2017-18”, now says that “it looks like we are there”.