Discover more from The Weekly S&P500 #ChartStorm
Chart Of The Day - Institutional Investor Confidence
Institutional investors getting bullish ahead of Q4 seasonal strength...
Finally Bullish: North American institutional investors have only just become outright-bullish as of August (based on actual transaction data). Prospects of a soft landing, peak/pause in rates, and year-end rally are likely top of mind.
As a technical note, this index measures investor confidence based on “actual buying and selling patterns of institutional investors… A reading of 100 is neutral; it is the level at which investors are neither increasing nor decreasing their long-term allocations to risky assets.”
August saw a +12.9 point jump (largest move since Dec 2020) in the North American institutional investor index to 103.8 (strongest reading since Sep 2022).
We can clearly see institutional investors climbing the wall of worry since the low point of the index in December last year — recession prospects, rising rates, bank panics, stumbling house prices, debt ceiling debates, bear market warnings, China troubles, commercial real estate issues, and so-on and so-forth. Nothing has been able to stop the rally off the October lows… and as this group are likely facing pressure from stakeholders, institutional investors are now jumping on the bandwagon.
SUBSCRIBE —> Important Note: if you would like to subscribe to receive the Chart of the Day series straight to your inbox;
1. first subscribe to the Weekly ChartStorm as either a paid or free user;
2. navigate to Account Settings, and turn on emails for the Chart of the Day section.
(alternatively you can bookmark the Chart of the Day section page and check-in daily for an interesting variety of timely + timeless updates on the market)
Thanks for your interest. Feedback and thoughts welcome.
Also, please share this free publication with your friends/colleagues :-)
NOTE >>> The Chart Of The Day series is brought to you by
The Weekly ChartStorm…
Subscribe to the Weekly ChartStorm for a carefully selected set of charts and expert commentary to help you stay on top of the evolving market outlook —> see why over 31,000 people choose the ChartStorm as their filter on a noisy world ↓