The current sentix sentiment readings for various indexes and asset classes suggest that investors are still cautious while moving away from the recent pessimism:
Among world indexes, the two with the most bearish sentiment are Japan (Nikkei) and China (CSI). Among commodities, crude oil is the least loved.
With the Greek sovereign debt crisis coming to a head, it isn’t surprising to see the European banking sector get clobbered in the sentiment readings:
Of course, from a contrarian perspective this means that we’ve seen or are about to see an important low. Remember that market bottoms are made during times of pessimism and negative news. By the time the crisis is resolved, the rebound will be well underway.
The relative Banking index is close to reaching the 2009 bear market lows and finding support during the gloom and doom related to the Greek debt crisis.