Schwab Survey: Bullish Sentiment Surges Among Retail Traders
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More than half of traders have a bullish outlook for the first quarter – the highest level of bullishness since 2021
Traders’ outlook for the economy has also become more optimistic. Nearly half (
“As the economy continues to show signs of improvement, trader optimism is on the rise with bullishness at its highest level since we began the survey,” said James Kostulias, head of Trading Services at Charles Schwab. “That said, there is still plenty of uncertainty out there, from global conflicts to the upcoming election to the path of inflation.”
Trader concerns and confidence
In the first part of 2024, geopolitical and global macroeconomic issues emerged as the top concern weighing on traders’ minds (
Primary concerns around investing |
1Q ‘24 |
4Q ‘23 |
3Q ‘23 |
2Q ‘23 |
1Q ‘23 |
Geopolitical or global macroeconomic issues |
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Political landscape in D.C. |
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Market correction |
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Uncertainty/potential increase in market volatility |
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Potential of a recession |
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Inflation |
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Fed holding rates steady |
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Traders point to the
Concerns aside, traders’ confidence in their own decision-making, similar to bullishness, hit the highest level since Schwab began its survey at
“It’s encouraging to see that traders’ overall confidence in their decision-making continues to grow,” said Kostulias. “Part of that is market-driven, but it also aligns with what we’re seeing in terms of trader clients’ interest and engagement with investing and educational tools, content, and research. As traders utilize more tools and resources, they are in a better position to vet ideas and strategies and make informed trading decisions. That is why this is such a big focus at Schwab, and a critical component of the Schwab Trading Powered by Ameritrade ecosystem.”
Sector and asset class outlook
At the sector level, traders are most bullish on information technology (
Traders are largely bullish on AI stocks (
Looking ahead to the next three months, about half of traders plan to move money into individual stocks while nearly
Portfolio Changes Planned in Next 3 Months |
1Q ‘24 |
4Q ‘23 |
Move money into individual stocks |
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Move money into ETFs |
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Move money into fixed income investments |
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Move money into cash investments |
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About the Charles Schwab Trader Sentiment Survey
The Charles Schwab Trader Sentiment Survey is a quarterly study exploring the outlooks, expectations, trading patterns and points of view of active traders at Charles Schwab and TD Ameritrade – defined as those making more than 80 equity trades, more than 12 options trades, or those who make futures or forex trades over the course of the year. The study included 762 Active Trader clients at Charles Schwab and TD Ameritrade between the ages of 18-75 and was fielded from January 12 - 27, 2024.
About Charles Schwab
At Charles Schwab, we believe in the power of investing to help individuals create a better tomorrow. We have a history of challenging the status quo in our industry, innovating in ways that benefit investors and the advisors and employers who serve them, and championing our clients’ goals with passion and integrity.
More information is available at aboutschwab.com. Follow us on X, Facebook, YouTube, and LinkedIn.
Disclosures
Content intended for educational/informational purposes only. Not investment advice, or a recommendation of any security, strategy, or account type.
Historical data should not be used alone when making investment decisions. Please consult other sources of information and consider your individual financial position and goals before making an independent investment decision.
All investments involve risk including the possible loss of principal. Please consider all risks and objectives before investing.
Charles Schwab & Co., Inc. ("Schwab") and TD Ameritrade, Inc., members SIPC, are separate but affiliated subsidiaries of The Charles Schwab Corporation. TD Ameritrade is a trademark jointly owned by TD Ameritrade IP Company, Inc. and The Toronto-Dominion Bank.
0224-L9ZL
View source version on businesswire.com: https://www.businesswire.com/news/home/20240222851749/en/
Margaret Farrell
Director, Corporate Communications
(203) 434-2240
margaret.farrell@schwab.com
Source: The Charles Schwab Corporation
FAQ
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