S&P 500 at another record high “experiencing lighter version of 1999 lunacy”

Markets were mixed on Monday.

The S&P 500 rose 0.7 percent to another record high while the China CSI 300 rose 1 percent. However, the STOXX Europe 600 fell 0.2 percent.

Arun Bharath, chief investment strategist at Bel Air Investment Advisors, said that the planned signing of a partial trade pact between the US and China is “a step in the right direction”.

He added that in the meantime, risk-on investments “are primarily being driven by a surge of global liquidity driven by central banks”.

Still, with the S&P 500 on a record-breaking run, many analysts are becoming concerned.

Last week, Lance Roberts at Real Investment Advice wrote that the market has been “overbought, extended, and complacent” over the last couple of weeks. He said “this is nuts” and reported taking profits out of portfolios on Friday.

A MarketWatch report noted that other analysts are saying similar things.

“The bullish sentiment we’re getting now has reached the uncomfortable stage,” Jeff deGraaf, chairman of Renaissance Macro Research, was quoted as saying.

Vitaliy Katsenelson, chief investment officer at Investment Management Associates, wrote in a MarketWatch article that the stock market is currently “experiencing a lighter version of the 1999 lunacy”.