Advisor Sentiment on Equities Takes a Hit: Survey | ETF Trends

Stock exchange traded funds were lower Tuesday following a report estimating that consumer confidence fell in August to its lowest level in over two years.

The Conference Board said its consumer confidence index fell to 44.5 from 59.2 in July as the decline was sharper than economists had expected.

However, consumers aren’t the only ones losing confidence in the U.S. economy. Advisors are growing more pessimistic over the economy and stock markets, according to a survey from exchange traded fund manager Rydex|SGI.

According to a Rydex|SGI note, the Advisor Confidence Index (ACI), which gauges advisor views on the economy and the equities market, reveals that advisor confidence in the economy and the stock markets fell 5.75% in August month-over-month.

The recent drop in advisor sentiment negated the slight gains in July and brought the index to 20% lower than January’s closing level.