INVESTOR SENTIMENT READINGS TURN A BIT MORE MIXED
The latest investor sentiment levels turned in mixed readings for the week. The AAII reported a decline in bullish investors from last week’s extreme reading of 45% to 35.4%. Neutral sentiment jumped to 35% while bearish expectations actually climed to 29.9%.
Charles Rotblut of AAII says this displays a level of cautious optimism:
“The numbers show that individual investors remain cautiously optimistic. While they are happy to see the major stock indexes reach new highs for the year, individual investors continue to keep an eye on their short-term profits. I do think the the slow pace of the market’s upward move over the past several days combined with the below average volume has not gone unnoticed.”
The Investor’s Intelligence poll, on the other hand, showed another jump in bullishness as 46% of financial advisers are now bullish. This was up from last week’s reading. Although bullish, it is not quite at the levels that preceded the January/February sell-off when bullishness jumped to 52%.
That’s interesting that bullishness decreased and is more cautious when the VIX is at the 16 dollar level now down from last week.
Perhaps the decline in investor sentiment is a reflection of the upcoming vote in Congress in re Health Care, and all the bullcrap surrounding the matter.
If the vote is in favor, look out below on Monday.