On Tuesday, the CNN Money Fear and Greed index recorded an overall decline in investor confidence in the U.S.
The U.S. stock market closed lower on Tuesday due to ongoing talks regarding the debt ceiling. However, no agreement has been reached between the two sides as of Tuesday.
Apple Inc AAPL and Broadcom Inc. AVGO signed a multibillion-dollar deal on Tuesday to manufacture components in the United States. Following this announcement, Broadcom Inc. shares rose over 1%.
During the session, the Dow Jones fell by approximately 231 points to 33,055.51, the S&P 500 by 1.12% to 4,145.58, and the Nasdaq Composite by 1.26% to 12,560.25.
Investors are waiting for the earnings reports of companies such as NVIDIA Corporation NVDA, Analog Devices, Inc. ADI, and Kohl’s Corporation KSS which are scheduled to be released today.
The index is currently at 66.0 which is still in the “Greed” zone, but less than the previous reading of 70.0
What is CNN Business Fear & Greed Index?
The Fear & Greed Index is a tool used to measure the current market sentiment based on the theory that an increase in fear exerts pressure on stock prices while heightened greed has the opposite effect. Seven indicators with equal weighting are used to calculate the index. It has a range of 0 to 100 where 0 indicates maximum fear and 100 indicates maximum greediness.
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