AAII Sentiment Survey: Pessimism Stays Above Average for Ninth Consecutive Week
by AAII Staff | April 20, 2023
Pessimism among individual investors remains above average for the ninth consecutive week in the latest AAII Sentiment Survey. Neutral sentiment decreased, while optimism slightly increased.
Bullish sentiment, expectations that stock prices will rise over the next six months, increased 1.2 percentage points to 27.2%. Optimism remains at an unusually low level. Bullish sentiment remains below its historical average of 37.5% for the 72nd time out of the past 74 weeks.
Neutral sentiment, expectations that stock prices will stay essentially unchanged over the next six months, decreased 1.8 percentage points to 37.7%. Neutral sentiment continues to be above its historical average for the 15th time out of the past 16 weeks.
Bearish sentiment, expectations that stock prices will fall over the next six months, increased 0.6 percentage points to 35.1%. After a stretch of unusually high levels, pessimism has been reverting closer to its average for the last three weeks. However, bearish sentiment is still above its historical average of 31.0% for the 69th time out of the past 74 weeks.
The bull-bear spread (bullish minus bearish sentiment) increased 0.5 percentage points to –7.9%. The bull-bear spread remains below average.
Market volatility continues to be a concern for individual investors.
Though individual investors mostly approved of the latest interest rate hike being smaller, inflation, market volatility and the pace of economic growth continue to influence individual investors’ short-term outlook for stocks.
Bullish: 27.2%, up 1.2 points
Neutral: 37.7%, down 1.8 points
Bearish: 35.1%, up 0.6 points
Bullish: 37.5%
Neutral: 31.5%
Bearish: 31.0%
See more Sentiment Survey results.
Discussion
JEFFREY V from IA posted over 3 years ago:
To much internation/global risk. Russia, China, Iran, North Korea, Mexico, the Saudi's. I don't believe the American people recognize the risk that has been building globally. This threatens not only the US but the global economy. Many of our old advisarys are and have us in a very vunerable spot, we are weak right now. Our supply chains are very dependent on South East Aisa and they sense or weakness and vunerablity and they are correct. Makes me very nervous should they choose to take advantage. I hope they don't for everyones sake. Add to that inflation, interest rates and an administration idelogically driven about social justice, diversity, climate change that considers nothing of the economic impacts for ALL folks is in my opinon short sited and divisive at best. Had hoped for better from this administration, sorry to say this to those who feel otherwise, just have no confidence anymore.
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