Stock markets (^DJI, ^IXIC, ^GSPC) are in the red after a tumultuous week of economic data releases and policy decisions. Friday's consumer sentiment print fell short of expectations at 65.6, reflecting growing concerns about the economic landscape. Research Affiliates founder and chairman Rob Arnott joins Catalysts to share his market outlook.

Arnott acknowledges that sentiment data often serves as an accurate measure of market and economic conditions. However, he argues that the consumer sentiment reading itself is "useless" for investors, as it merely reflects sentiment already priced into share prices. Instead, he suggests that investors should focus their efforts on identifying areas "where the consensus might be wrong."

When it comes to potential investment opportunities in the current market, Arnott strikes a cautious tone, stating, "There will be great buying opportunities in the next couple of years, but this is not one of them."

For more expert insight and the latest market action, click here to watch this full episode of Catalysts.

This post was written by Angel Smith