Although the S&P 500 hit another all-time high this week, individual investors continue to get a little more cautious. According the weekly survey from the American Association of Individual Investors, bullish sentiment declined by over five percentage points, falling from 45.37% down to 39.8%. While this is the first sub-40 reading since the beginning of February, bullish sentiment remains above its bull market average of 38.8%. In other words, investors are less optimistic this week, but are still relatively optimistic.
As bullish sentiment declined, bearish sentiment increased to its highest level since the first week of February, rising from 20.3%, up to 23.36%.