The CNN Money Fear and Greed index showed some easing in the overall fear level, while the index remained in the “Extreme Fear” zone on Tuesday.
U.S. stocks settled higher on Tuesday, with the Dow Jones index gaining more than 1,100 points during the session as President Donald Trump signaled a potential end to military operations in Iran within weeks.
However, stocks recorded losses last month, with the S&P 500 losing 5.1%, logging its worst monthly performance since 2022. The Dow dipped 5.4%, while the Nasdaq fell 4.8% in March.
U.S. major averages also recorded losses last quarter, with the Nasdaq dipping more than 7%. The S&P 500 fell 4.6%, while the Dow tumbled 3.6% during the quarter.
In earnings, FactSet Research Systems Inc. (NYSE:FDS) on Tuesday reported upbeat results for the second quarter and raised its outlook. TD SYNNEX Corp. (NYSE:SNX) posted better-than-expected earnings for the first quarter on Tuesday.
On the economic data front, the FHFA house price index rose 0.1% in January following a 0.3% growth in December. The S&P Cotality Case-Shiller home price index increased 1.2% year-over-year in January compared to 1.4% in December and down from market estimates of 1.3%.
Most sectors on the S&P 500 closed on a positive note, with communication services, consumer discretionary and information technology stocks recording the biggest gains on Tuesday. However, energy and utilities stocks bucked the overall market trend, closing the session lower.
The Dow Jones closed higher by around 1,125 points to 46,341.51 on Tuesday. The S&P 500 jumped 2.91% to 6,528.52, while the Nasdaq Composite surged 3.83% at 21,590.63 during Tuesday's session.
Investors are awaiting earnings results from UniFirst Corp. (NYSE:UNF), Conagra Brands Inc. (NYSE:CAG) and Lamb Weston Holdings Inc. (NYSE:LW) today.
What Is CNN Business Fear & Greed Index?
At a current reading of 14.7, the index remained in the “Extreme Fear” zone on Tuesday, versus a prior reading of 13.7.
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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