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Market Sentiment

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Market Sentiment
A subjective measure of how investors are feeling about a security or market. Generally speaking, market sentiments are positive when stock prices are going up and negative when they are going down. Because feelings sometimes change more slowly than a market's underlying fundamentals, market sentiment helps explain why securities have a tendency to become either overvalued or undervalued. Some investors plan to make investment decisions in a way that disregards market sentiment, while others attempt to profit from it. See also: Crowd theory, Subjective probabilities, The Theory of Moral Sentiments.

market sentiment
The intuitive feeling of the investment community regarding the expected movement of the stock market. For example, if market sentiment is bullish, then most investors expect an upward move in the stock market.


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When market sentiment picks up, EFG will be one of the first to be affected, as it's a brokerage-based investment house," CIBC's senior equity sales trader Ashraf Akhnoukh says.
But it added that the outlook for the project was improving along with base metal prices, market sentiment and financing conditions generally.
The market was relieved by firm Chinese stocks when market sentiment had become too bearish,'' said a senior dealer at a Japanese bank, adding that rises in other Asian stock markets also helped improve sentiment and spurred buying of the dollar.
 
 
 
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