Worldwide investor confidence improved in September on the back of accommodative actions by central banks around the world as well as better trade truce prospects, according to the State Street Investor Confidence Index.
The Global Investor Confidence Index saw an increase of 3.3 points to 80.1 from August's revised reading of 76.8, driven by an 18.5 point jump in European investor confidence to 107.6. In contrast, investor confidence in North America declined further, with the associated index dropping to 71.8 from 73.5, while Asian investor confidence also fell to 87.4 from 89.3.
Despite the improvement, the global index remains "significantly below" the 100 neutral level at which investors are neither increasing nor decreasing their long-term allocations to risky assets.
"Just like purchasing managers in manufacturing, investors remain cautious, but marginally less so this month," said Michael Metcalfe, senior managing director and head of global macro strategy at State Street Global Markets.
