As we close the door on 2010 with an economy that is still far from healthy, one thing is certain: investors are very happy with the landscape they see ahead of them. According a survey last week by the American Association of Individual Investors, a full 63 percent of all investors consider themselves bullish. Only 16 percent are bearish, with the rest considering themselves neutral.
Back in July of this year, only 20 percent of investors were bullish, according to the same survey. As recently as earlier in December, right about half of investors were optimistic about the markets.
It should be noted, though, that all that investor optimism isn't necessarily a good thing. As Paul Lim of the New York Times notes, the survey found the number of bullish investors at 55 percent back in October 2007. A month later, the recession began; over the following 12 months, the S&P 500 lost 37 percent of its value.
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