70.1% of Investors Turn Bullish as Trade Clarity Sparks Economic Optimism

The economic glass is looking half-full again, and investors are thirsty for more. Our latest Bear and Bull survey reveals that 70.1% of investors are now bullish, marking a sharp reversal from earlier concerns about trade wars and economic uncertainty. This surge in confidence comes as President Trump’s recent deals with Britain, Japan, and Indonesia provide much-needed clarity on trade policy, while corporate earnings continue to outperform expectations.

• The S&P 500 has climbed in 7 of the past 12 months, with the index rising 2.2% in July, while the Nasdaq-100 is up 2.4% during the same period.
• The Fed’s preferred inflation gauge held at 2.8%, while Trump’s removal of the “revenge tax” eased tensions among institutional investors.

Forward-looking: After an upbeat July, August brings a different mood. Historically, it’s one of the weakest months for tech stocks — and with inflation still running hot and the Fed keeping rates steady, investors are more cautious. Hopes for a September rate cut have faded fast, especially as Trump’s tariff extensions stir fresh uncertainty. And while strong Big Tech earnings are helping support sentiment, renewed tariff pressures suggest August may be anything but quiet.