Investor Sentiment Check

Investor sentiment is getting more bullish today, after a spike in bearishness yesterday. The CBOE put/call closed at 1.18 yesterday. Also, the bull/bear poll on Realmoney.com showed more bears than bulls for the first time since October 9th.

Today, the volatility indexes are breaking back below their 50-day moving averages. The ARMS Index is low at 0.78, and the put/call ratios are also lower (although the CBOE is still near 1.0).

In ETF land, the materials sector is leading the way (+1.7%), followed by energy (+0.9%). The tech and healthcare sectors are lagging (+0.2%). Biotechs are one of the few industries lower on the day.

The SPX is hitting a new high for the day as I write, and helping large-caps outpace small and mid-caps.