Investor optimism retreated sharply in the latest American Association of Individual Investors weekly survey, with the share of respondents expecting stocks to rise over the next six months dropping to 29.9% for the week ended Aug. 15. That is down five percentage points from the prior reading and marks the first time since May that bullish sentiment has slipped below 30%. Pessimism rose in tandem: 46.2% of participants now anticipate lower equity prices, up three points to the highest level in 13 weeks. The 16-point gap between bearish and bullish views is considerably wider than the survey’s long-term average, underscoring a swing toward caution among retail investors as summer trading volumes thin.