The CNN Money Fear and Greed index showed a decline in the overall market sentiment, while the index remained in the “Greed” zone on Wednesday.
U.S. stocks settled lower on Wednesday, with the Dow Jones index falling more than 800 points during the session as investors remained cautious amid renewed concerns over fiscal policy.
Lowe’s Companies Inc. (NYSE:LOW) reported mixed results for the first quarter of fiscal 2025. Target Corp. (NYSE:TGT) reported weaker-than-expected first-quarter results.
On the economic data front, U.S. mortgage application volumes declined by 5.1% from the previous week in the week ending May 16.
Most sectors on the S&P 500 closed on a negative note, with real estate, health care, and financial stocks recording the biggest losses on Wednesday. However, communication services stocks bucked the overall market trend, closing the session higher.
The Dow Jones closed lower by around 817 points to 41,860.44 on Wednesday. The S&P 500 fell 1.61% to 5,844.61, while the Nasdaq Composite declined 1.41% to 18,872.64 during Wednesday's session.
Investors are awaiting earnings results from BJ’s Wholesale Club Holdings Inc. (NYSE:BJ), Analog Devices Inc. (NASDAQ:ADI), and Williams-Sonoma Inc. (NYSE:WSM) today.
What is CNN Business Fear & Greed Index?
At a current reading of 66.2, the index remained in the “Greed” zone on Wednesday, versus a prior reading of 68.7.
The Fear & Greed Index is a measure of the current market sentiment. It is based on the premise that higher fear exerts pressure on stock prices, while higher greed has the opposite effect. The index is calculated based on seven equal-weighted indicators. The index ranges from 0 to 100, where 0 represents maximum fear and 100 signals maximum greediness.
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