State Street Global Markets, the investment research and trading arm of State Street Corporation, released the results of the State Street Investor Confidence Index for May 2007.
Global Investor Confidence fell by 1.8 points to 91.2 from April’s revised reading of 93.0. Looking regionally, the confidence of North American institutional investors decreased from 102.6 to 99.9, but confidence elsewhere improved, with European sentiment seeing an improvement from 90.5 to 94.2, and Asian sentiment rising from 81.7 to 84.3.
“In the wake of a weak domestic first quarter, US investors continue to behave with some trepidation,” says Ken Froot, a Harvard University professor who helped to develop the confidence index. “However, globally, prospects remain good as worldwide demand remained strong through the first quarter, impacting inventories. This provides the backdrop for the improved sentiment outside the US.”