The CNN Money Fear and Greed index showed some improvement in the overall market sentiment, while the index remained in the “Greed” zone on Tuesday.
U.S. stocks settled higher on Tuesday, as the Dow Jones index gained more than 100 points during the session, with investors closely watching for potential progress in ongoing U.S.-China trade negotiations taking place in London.
Shares of Casey’s General Stores Inc. (NASDAQ:CASY) jumped around 12% on Tuesday after the company reported better-than-expected fourth-quarter financial results and increased its quarterly dividend. Shares of Calavo Growers Inc. (NASDAQ:CVGW) dipped more than 16% after the company reported worse-than-expected second-quarter financial results.
On the economic data front, the NFIB Small Business Optimism Index rose to 98.8 in May from 95.8 in April and topping market estimates of 95.9.
Most sectors on the S&P 500 closed on a positive note, with energy, health care and consumer discretionary stocks recording the biggest gains on Tuesday. However, industrial stocks bucked the overall market trend, closing the session lower.
The Dow Jones closed higher by around 105 points to 42,866.87 on Tuesday. The S&P 500 rose 0.55% to 6,038.81, while the Nasdaq Composite climbed 0.63% to 19,714.99 during Tuesday’s session.
Investors are awaiting earnings results from Chewy, Inc. (NYSE:CHWY), Victoria’s Secret & Co. (NYSE:VSCO) and Oracle Corp. (NYSE:ORCL) today.
What is CNN Business Fear & Greed Index?
At a current reading of 63.7, the index remained in the “Greed” zone on Tuesday, versus a prior reading of 61.8.
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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