What a difference a quarter makes. Investor sentiment has grown appreciably more bullish since the last quarter of 2015, according to a survey released today.
Heading into first quarter earnings season, a survey by Corbin Perception of Hartford found that investor sentiment has stabilized after reaching the highest level of bearishness in over three years.
Investor expectations have reset, with 75 percent of U.S.-based investors anticipating earnings results to be in line or better than consensus estimates, up measurably from 43 percent in the fourth quarter.
The report from Corbin Perception, an investor research and investor relations advisory firm, is based on responses from 60 institutional investors managing over $580 billion in global assets.
European investors held the most bearish outlook, with 38 percent expecting results worse than forecast. Outlooks for 2016 remain somewhat muted amid slowing global growth and political uncertainty in the U.S.
“With plunging oil prices, the persistent strengthening U.S. dollar and extreme China fears of January and February behind us for now, we are at an interesting juncture,” said Rebecca Corbin, founder and managing partner of Corbin Perception. “The bears continue to latch onto a slow global economy, geopolitical volatility and a cycle seemingly in the late innings while the bulls are embracing a slow but more stable global economic environment, record low real interest rates and a rebounding U.S. dollar to support their thesis.”