Only European investors, according to their buying and selling behavior in the market, bucked the downward trend in October.

Investors in North America and Asia grew less confident about the market and economic outlook in October than they had been a month before, although Europeans became more upbeat, a monthly barometer of buying and selling action revealed.

The Global Investor Confidence Index, issued by State Street, dropped to 79.2, down by 0.9 points from September’s revised reading of 80.1. The decrease in investor sentiment was driven by a 4.3 point drop in the North American ICI to 67.6 and a 1.5 point drop in the Asian ICI to 85.6.  Meanwhile, in contrast, the European ICI increased substantially for the second month in a row, rising from 107.4 to 132.9.

(A reading of 100 is neutral; it is the level at which investors are neither increasing nor decreasing their long-term allocations to risky assets. The index differs from survey-based measures in that it is based on the actual trades, as opposed to opinions, of institutional investors.)

“Even with the stock market reaching new highs, US investor confidence declined further in October,” Marvin Loh, senior macro strategist, State Street Global Markets, said. “Despite a more accommodative Fed [US Federal Reserve], deepening geopolitical risks coupled with historically rich equity valuations in the US appear to be having a detrimental effect on investor sentiment right now.”

“European investor confidence rose sharply again in October as positive developments in Brexit negotiations and trade war talks sparked large-scale equity purchases in the region,” Kenneth Froot, one of the creators of the State Street index, said. “These events have prompted institutions to reduce cash levels; purchasing both equities to capitalize on pro-risk developments, and bonds to capitalize on an increase in yields.”

Froot, along with Paul O’Connell, formed the index at State Street Associates, State Street Global Markets’s research and advisory services business, and part of State Street, the US financial services group. The index measures investor confidence or risk appetite quantitatively by analyzing the actual buying and selling patterns of institutional investors.