Group 1 - The S&P 500 and Nasdaq 100 indices are near all-time highs, but indicators suggest a negative outlook due to a stagnant labor market and low job openings [1] - The University of Michigan Current Economic Conditions Index has reached an all-time low, with a December 2025 reading of 50.4 and a January 2026 3-month rolling average of 52.3, marking the lowest levels since the late 1970s [2][4] Group 2 - Poor sentiment in economic conditions may serve as a contrarian indicator, potentially signaling a "buy low" opportunity, as historical data suggests that negative sentiment can lead to positive future returns [5] - An analysis of the S&P 500's performance based on the Current Economic Conditions Index readings from 1978 shows varying average forward-12-month returns across different ranges, with lower readings correlating to higher returns [7][9] - The study categorized monthly report readings into 5-point buckets, revealing a clear pattern in S&P 500 returns based on these economic conditions [10]