Oh they absolutely absolutely do. My beloved boy, my cat, is so in tune with me that when I have been going through some very stressful times, it's actually affected him - I've obviously got to the bottom of this and know how to help us both, but we are sooooooooooo close. He's my boy. My love. My beloved Yorkie who passed last month was sad when we were sad, picked up on our moods and could tell us if something was wrong in the house. No one could ever convince me that animals aren't perceptive. They're more intelligent and sensitive than the majority of humans.