LIVE MARKETS — AAII pessimism rises as investors turn more cautious
Dow ~flat; S&P 500 drops, Nasdaq down >1% Energy leads S&P 500 sector gainers; tech weakest group Euro STOXX 600 index up ~0.7% Dollar falls; bitcoin dips; gold ~flat; US crude gains up >1% US 10-year Treasury yield edges up to ~5.11% Welcome to the home for real-time coverage of markets brought to you by Reuters reporters. You can share your thoughts with us at Aaii Pessimism Rises As Investors Turn More Cautious Individual investors turned a bit more cautious in the latest American Association of Individual Investors (AAII) Sentiment Survey, with pessimism rising while both neutral views and optimism edged lower. The survey also pointed to a continued reluctance to take on additional risk. Only about 5% of respondents, the smallest share, said they had recently become more aggressive. Bearish sentiment, or expectations that stock prices will fall over the next six months, climbed 2.6 percentage points to 41.6%. The reading remains unusually high and marked a 36th straight week above its historical average of 31.5%. Neutral sentiment, or expectations that stock prices will remain largely unchanged over the next six months, fell 1.1 percentage points to 19.7%. It remains unusually
Dow ~flat; S&P 500 drops, Nasdaq down >1% Energy leads S&P 500 sector gainers; tech weakest group Euro STOXX 600 index up ~0.7% Dollar falls; bitcoin dips; gold ~flat; US crude gains up >1% US 10-year Treasury yield edges up to ~5.11% Welcome to the home for real-time coverage of markets brought to you by Reuters reporters. You can share your thoughts with us at Aaii Pessimism Rises As Investors Turn More Cautious Individual investors turned a bit more cautious in the latest American Association of Individual Investors (AAII) Sentiment Survey, with pessimism rising while both neutral views and optimism edged lower.
The survey also pointed to a continued reluctance to take on additional risk. Only about 5% of respondents, the smallest share, said they had recently become more aggressive. Bearish sentiment, or expectations that stock prices will fall over the next six months, climbed 2.6 percentage points to 41.6%. The reading remains unusually high and marked a 36th straight week above its historical average of 31.5%.
Neutral sentiment, or expectations that stock prices will remain largely unchanged over the next six months, fell 1.1 percentage points to 19.7%. It remains unusually low and has now stayed below its historical average of 31.0% for 32 consecutive weeks. Bullish sentiment, or expectations that stock prices will rise over the next six months, slipped 1.5 percentage points to 38.7%. Even so, optimism remains above its historical average of 37.5%, a threshold it has exceeded in four of the past seven weeks.
With bears outnumbering bulls once again, the bull-bear spread, a gauge of investor sentiment, fell to minus 2.9% from positive 1.3% a week earlier. The spread has now spent 13 consecutive weeks below its historical average of 6.5%. In this week's special question, AAII asked its members how, if at all, they’ve changed their approach to investing lately. Here is a graphic showing how they responded.
(Terence Gabriel) *** Earlier On Live Markets: Live Entertainment Emerging As Winner In Streaming Era Click Here Data Double-dip: Industrial Production, Import Prices Click Here Power Constraints Create New Winners In The Ai Boom Click Here WALL STREET MIXED AS CHIP selloff EXTENDS CLICK HERE Split Us Congress After 2026 Midterms Could Boost Healthcare Stocks, Mizuho Says Click Here Semis' Seven-day Skid Puts Reversal In Focus Click Here The Slow Way Rates Matter For The Ai Trade Click Here Déjà Vu For The Cac 40 Click Here What's Next For The Ai Trade?
Click Here Stoxx 600 Heads For Weekly Gain Click Here Europe Before The Bell: Futures Rise, Tech Jitters Ease Click Here Calm After Coreweave Shock, But For How Long? Click Here AAII10162026 AAIISQ10162026 (Terence Gabriel is a Reuters market analyst. The views expressed are his own)