Investor sentiment reaches new low on US recession fears

UK equities also unpopular

Investor sentiment has reached a new low of -8.4% following the biggest year-on-year fall on record, according to the latest Lloyds Bank Private Banking Investor Sentiment Index.

Overall investor sentiment fell 17.4 percentage points (pp) between January 2018 and January 2019, down from 9%. On a monthly basis, sentiment fell 3.9pp. US shares saw the biggest loss of confidence this month on the back of recession fears with sentiment falling 31.3pp month-on-month - the largest such drop on record - to -20%, the asset class's lowest level since the index began in 2013. Year-on-year sentiment fell 23.4pp. UK equities also remained unpopular, with confidence falling 2.1pp to -29.2% from -27.1% last month, the previous record low. Year on year sentiment plummeted 41...