Markets mixed, “S&P 500 looks to have entered a bubble”

Markets were mixed on Friday.

The S&P 500 was flat, the STOXX Europe 600 rose 0.2 percent and the Nikkei 225 fell 0.4 percent.

“The path of least resistance appears to be higher,” said Jeffrey Kravetz, regional investment director at US Bank Private Client Reserve.

However, with just two trading days to go for the year and the main US stock indices potentially putting in their best annual performances since 1997, not everyone is sanguine about next year.

Cresset Capital’s chief investment officcer Jack Ablin is telling investors to brace for stocks to drop at least 15 percent in early 2020.

“Valuations are pretty stretched,” he told CNBC on Thursday.

Clem Chambers, CEO of stocks and investment website ADVFN, wrote on Forbes that the “S&P 500 looks to have entered a bubble”.