Investor Optimism Eases Despite Dow Recording Gains

Investor Optimism Eases Despite Dow Recording Gains

The CNN Money Fear and Greed index showed some easing in sentiment among US investors after the Nasdaq closed lower on Friday.

The Dow Jones, however, recorded gains during the holiday-shortened week, also notching gains for the third straight session.

Overall gains, meanwhile, remained limited due to continued lockdown restrictions in China

The Dow gained 0.45% to close at 34,347.03 on Friday. The S&P 500 fell 0.03% to 4,026.12, while the Nasdaq Composite fell 0.52% to settle at 11,226.36 in the previous session.

All the three indices settled the week higher, with the Dow gaining around 1.8%, and the S&P 500 adding 1.5% during the week.

Pinduoduo Inc. PDD, H World Group Limited HTHT and JOYY Inc. YY are set to report quarterly earnings today.

At a current reading of 64.0, the index remained in the "Greed" zone, compared to a previous reading of 66.0.

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 IndexEarningsNewsSmall CapPre-Market OutlookMarketsTrading Ideas