The SP500 Net Non-Commercial Futures has become a reliable market sentiment in recent years. Last week a new single-week low of -344.3 is the lowest level in 10yrs and the last 12mos of pessimism. There is no single event to point to other than a recent rise in the SP500 from $3,900 range provided an opportunity for pessimistic investors to build additional hedges to equity portfolios. This s a useful high-frequency indicator to monitor sentiment. The SP500 posted a recent low in Oct 2022 and is rising on rising pessimism. Experience indicates this remains a market buying opportunity..
Pessimism always presents buying opportunities. In my opinion, this period is particularly opportunistic.