In adventure movies the hero goes over a cliff and, unseen by us, is able to grab a vine and climb back up to the top. That scenario makes for a great action story, but in our current investment environment, I’m not seeing anything to grab hold of yet. While there are many good values in some sectors, the negative side is dominating investor sentiment right now.
Northbrook, IL (PRWEB) April 17, 2007
TrendPointers introduces its newest economic/investment indicator: Sentiment Signals. TrendPointers’ Sentiment Signals provide a timely and systematic way to capture and analyze what really moves people to action: the content in news and information that is the catalyst for forming investor sentiment and decisions. TrendPointers’ April 2007 Sentiment Signals indicate that any positive investing sentiment seems to be just flapping in the wind, unable to achieve sustainable confidence among most observers.
Last month, TrendPointers reported that multiple political and economic events around the world caused the already fragile level of positive sentiment to take a downward plunge. This pessimism continues into April. As Richard Spitzer, President and CEO of TrendPointers, LLC notes, “In adventure movies the hero goes over a cliff and, unseen by us, is able to grab a vine and climb back up to the top. That scenario makes for a great action story, but in our current investment environment, I’m not seeing anything to grab hold of yet. While there are many good values in some sectors, the negative side is dominating investor sentiment right now.”
TrendPointers’ new Sentiment Signals capture and report sentiment at three news levels: gurus, general business, and mass media. The April sentiment scorecard for each level is as follows:
Guru Views: Negative/Watchful. In its first reporting period, guru views are 70% outright negative, with the remainder offering only mixed and uncertain views.
Business Media: Negative/Watchful. Last month business media positive sentiment showed a dramatic decline. Over the last four weeks it has rebounded a bit, but still is just 38% positive, with 32% outright negative, making the business media more or less evenly split among the three possible positions: negative, uncertain, and positive. Uncertainty plainly rules at this level.
Mass Media: Very Negative. Mass media views are and have remained squarely in the negative zone, with 73% negative or uncertain, little better than the 78% negative at the beginning of March.
In addition TrendPointers’ Trend Impact Score (TIS) of 25 leading indicators is in the negative zone, with 60% of indicators showing a decline from last period. Overall, the great majority of public sentiment does not exhibit much optimism. The reasons for the majority of the negative news are unchanged: energy concerns, US economic woes, Middle East instability, the war in Iraq, and on and on. On any given day, any one of these critical issues can cause a short term hit to the market, as we recently saw in the downturn caused by the China market.
http://www.trendpointers.com publishes a monthly report of emerging trend indicators for investment conditions and specific business sectors. Conclusions in each report are based on business research methods that involve monitoring an extraordinary array of media, investment, and economic information. Data is analyzed using five proprietary monthly indices that collectively provide a multi-dimensional view of overall market influences.
About TrendPointers, LLC
TrendPointers, LLC is a business trend and research firm that investigates how the continuous flow of news and public information influences business decisions and impacts the financial markets. TrendPointers publishes its research monthly for subscribers at http://www.trendpointers.com -- providing investors and financial decision makers with a convenient single source to help anticipate potential market activity.
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