Traders More Optimistic Ahead Of Key Consumer Price Index

Traders More Optimistic Ahead Of Key Consumer Price Index

The CNN Money Fear and Greed index showed an improvement in investor sentiment, after US stocks recorded gains at the start of the week.

US inflation data is scheduled for release today, with analysts expecting annual inflation level to ease further during August.

Investors also assessed news of Ukraine making some progress against its war with Russia.

The US dollar also pared some losses versus a basket of major peers, after dropping to its weakest level in over two weeks.

The Dow rose 0.71% to close at 32,381.34 on Monday. The S&P 500 rose 1.06% to 4,110.41, while the Nasdaq Composite gained 1.27% to settle at 12,266.41 in the previous session, amid a slight rise in stocks, including, Apple Inc. AAPL and Amazon.com, Inc. AMZN.

Investors are now awaiting earnings results from Core & Main, Inc. CNM and InnovAge Holding Corp. INNV, scheduled for release today.

At a current reading of 49.0, the index remained in the "neutral" zone, following a previous reading of 45.0.

What is CNN Business Fear & Greed Index?

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.

Posted In: CNN Business Fear & Greed IndexNewsPenny StocksSmall CapPre-Market OutlookMarketsTrading Ideas