Bullish Sentiment of Newsletter Writers & Retail Investors at Rare Divergence

This week, Rocky White of Schaeffer’s Investment Research wrote an article discussing the divergence in bullish sentiment among investment newsletter writers and retail investors. Specifically, he looked at AAII’s Investor Sentiment Survey and the weekly Investors Intelligence (II) sentiment poll and how bullish sentiment between the two indicates very different expectations. But first, some background….

 

U.S. Indexes Mark 25-Year Milestone

Please note that U.S. markets will be closed on Monday, February 20, in observance of Washington’s Birthday (President’s Day). AAII offices will also be closed. This week saw several market indexes notch multiple all-time highs. The Dow Jones industrial average recorded its fifth consecutive record close on Wednesday, the second such streak in roughly two…

 

U.S. Markets Continue to Climb, Triggering Potentially “Ominous” Signal

Weekly Market Summary Renewed promises from President Trump of a new tax plan and generally positive economic and earnings data sent U.S. stocks upward again this week. In fact, this week the Dow Jones Industrial Average (DJIA), S&P 500 and Nasdaq Composite notched intraday highs in each of the last six sessions. According to Schaeffer’s…

 

Market Rally Stalls, Investor Sentiment Sags as Trump Era Begins

At noon (Eastern time) on January 20, 2017, Donald John Trump took the oath of office, becoming the 45th president of the United States. Since the close of Election Day, November 8, 2016, the S&P 500 index gained 5.8% through the close on Thursday, January 19. Per Schaeffer’s Investment Research, average post-election return for the…

 

Bears Gain Ground as Trump Presidency Begins

Weekly Market Summary On Friday, Donald J. Trump was sworn in as the 45th President of the United States. Leading up to Inauguration Day, the “Trump Rally” had been losing its momentum, with the Dow Jones Industrial Average posting five straight losses before rising on Friday. In addition, Over the 10 trading days through Thursday,…

 

AAII Sentiment Triggers Signal for Only Second Time Ever: Schaeffer’s Investment Research

As of January 12, 2017, bullish sentiment among AAII members stood at 43.6%, down 2.6-percentage points from a week ago. This is now the 106th straight week that bullish sentiment has been below 50%. A post from Schaeffer’s Investment Research notes that this is only the second time in the history of the AAII Investor…