Investor sentiment steadies as bullish views edge higher, shows latest AAII survey

The AAII weekly survey showed a slight rise in bullish views among individual investors, with bullish sentiment increasing to 39.3% (from 38.3%) for the week ended May 13. Neutral sentiment fell to 24.1% (from 28.7%) while bearish sentiment rose to 36.6% (from 33.0%), indicating a mixed backdrop for markets. Market gains this week for the S&P 500 and Nasdaq were driven by strength in tech/AI names, solid earnings, and a mix of geopolitical and inflation-related news. The S&P 500 was trading around 7,479.65 (+0.48%) and near its 52-week high, suggesting sentiment shifts are coinciding with modest index strength rather than a decisive directional change. Overall, the survey points to a market with slightly more bullish conviction but notable bearish positioning, implying potential for continued volatility around economic and earnings developments.