Talk about 5G is everywhere right now, from the trade war with China to the ban on Huawei. Here's what 5G is and why it matters.Technologyread more
A federal judge in New York City on Wednesday said Deutsche Bank and Capital One can turn over financial documents related to President Donald Trump and his businesses in...Politicsread more
Shares of L Brands, the owner of Victoria's Secret and Bath & Body Works, rose nearly 11% in aftermarket trading Wednesday after the company reported it beat revenue and...Retailread more
CNEX, backed by Microsoft and Dell, filed new allegations in a Texas suit accusing China's Huawei and an executive of trade secrets theft.Technologyread more
Officials remained firmly committed to a "patient" policy stance at their meeting earlier this month.The Fedread more
A slew of retail earnings the past two weeks makes it clear that while Americans continue to shop, they aren't ringing registers at department stores.Retailread more
Stocks that would benefit from a federal infrastructure spending program fell after President Trump ended a meeting on infrastructure spending with Democratic leaders.Market Insiderread more
Controversial lawyer Michael Avenatti was indicted on charges of trying to extort athletic shoe giant Nike out of tens of millions of dollars by threatening to go public with...Politicsread more
Despite the president's claim that "you can't investigate and legislate simultaneously," certain must-pass pieces of legislation, including a debt ceiling hike, will...Politicsread more
Moody's said it's downgrading the outlook for Equifax from stable to negative, citing ongoing fallout from the company's 2018 data breach.Technologyread more
Amazon shareholders demanded the company to take action on a number of different issues during its annual shareholder meeting on Wednesday.Technologyread more
As the continued rise in U.S. stocks to record highs has led to some speculation about the formation of a market bubble, analysts told CNBC that investors are not appreciating the full risk of another 1999-style bubble.
This week the S&P 500 and the Dow Jones Industrial Average both surged to record highs of 1,775.22 and 15,721 respectively. The two global benchmarks closed slightly lower on Wednesday, however, following slightly less dovish than expected comments from the Federal Reserve.
According to Michael Gayed, chief investment strategist at investment advisers Pension Partners, the healthy performance seen this year has been purely driven by the Fed's expansive quantitative easing (QE) program, rather than valuations, a sure sign of the potential for a correction.
(Read more: Dollar still at 'risk' as shutdown sequel looms)
"You are seeing fairly sizable inflows into equities – the most since 2000, yet inflation expectations are still not trending up... [It] now appears to be the start of a potential bubble given how far U.S. equities have diverged from the underlying economy, inflation expectations and the overall reality of where we are in the economic cycle," he said.
"This is really a big, big problem that is being under-appreciated," he added.
Gayed drew parallels with the market environment seen in the late 1990s, when huge appetite for internet-based stocks led to massive gains for U.S. indices and their eventual crash in 2000, broadly known as the dot.com bubble.
A similar trend is emerging in U.S. stock markets today, he said, due to the Fed's huge monetary stimulus program, which has pumped $2.8 trillion into the U.S. economy since late 2008. But rather than stimulate the economy, the flow of easy money has instead stimulated the stock market.
"[As a result] they are risking the embarrassment of another 1999 Fed induced/liquidity induced bubble," he added.
(Read more: Taper tease? Market worries Fed will end easing)
The Pension Partners' chief investment strategist highlighted a number of warning signs that a bubble could be forming in the U.S. stock market, including the recent poor performance of U.S. small caps, strong appetite for defensive sectors and the fact that bond yields were not rising in a way "that suggests the stock market is right about the future."
"Big [corrections] in stock market... are preceded by complacency, the illusion of stability, leverage and a sense of entitlement," he added.
However, Gayed also told CNBC that the Fed's "power of words" which has been demonstrated by the huge impact its use of the word 'taper' has had on markets could give the central bank the ability to prevent a severe correction.
"Just by introducing the word 'taper' yields spike. Maybe they can use a few words here and there to just calm the stock market down," he said.
Gayed's concerns echo a number of industry commentators who have recently started to warn of a bubble forming in U.S. stocks.
(Read more: For the Fed, 'bubble' talk may top 'taper' talk)
Larry Fink, CEO of Blackrock, the world's largest money manager, warned this week that the Fed's quantitative easing policy was leading to the formation of market bubbles and advised the central bank to start tapering immediately.
Meanwhile Robert Heller, former Governor at the Fed from 1986 to 1989, told CNBC on Thursday that markets were "perilously close" to the formation of a bubble.
The S&P 500 and the Dow Jones have risen 24.5 percent and nearly 20 percent, respectively, year to date.
—By CNBC's Katie Holliday; Follow her on twitter