Our Animal Spirits Index declined in January, notching its eleventh consecutive month below zero. Despite a better-than-expected recovery in some economic data, the index suggests sentiment remains under pressure. The Animal Spirits Index (ASI) came in at -0.51 in January, marking the third consecutive monthly decline. Previous reports detail the methodology, but on a basic level an ASI value above zero indicates optimism, while a value below zero suggests pessimism. While the index has been negative since March, it was at least headed in the right direction through last September. Over the course of the fall and ... (full story)