Despite the S&P 500 reaching new record highs, bullish sentiment shows signs of decline, having fallen for the past eight weeks, according to analysts from Citi.

Market Insights

• Investor caution is evident as short betting increases against the S&P 500, Nasdaq, and Russell 2000.
• European equities display similar trends, though non-UK markets maintain high profit levels.

Impact of Macroeconomic Factors

• US tariff threats and economic outlook concerns are weighing heavily on market sentiment.
• The forthcoming German election results could shift equity sentiments across the Eurozone.

Navigating these market dynamics will require careful analysis as sentiment shifts.