The CNN Money Fear and Greed index showed some easing in the overall fear level, while the index remained in the “Fear” zone on Friday.

U.S. stocks settled higher on Friday, with the Dow Jones index gaining more than 200 points during the session after the Supreme Court struck down President Donald Trump’s tariffs.

In a historic decision, the Court ruled that the International Emergency Economic Powers Act (IEEPA) does not authorize the president to impose tariffs, grounding its reasoning in separation-of-powers principles.

In earnings, PPL Corp. (NYSE:PPL) reported mixed fourth-quarter fiscal 2025 results. Tandem Diabetes Care Inc (NASDAQ:TNDM) shares jumped around 33% on Friday after the company reported better-than-expected quarterly financial results.

On the economic data front, U.S. GDP expanded at just a 1.4% annualized pace in the fourth quarter of 2025, a steep slowdown from the prior quarter’s 4.4% growth and well below expectations for 3%.

Meanwhile, December’s Personal Consumption Expenditures index rose 0.4% month over month, lifting the annual rate to 2.9%. Core PCE — the Federal Reserve’s preferred inflation gauge — also increased 0.4% on the month, pushing the year-over-year rate to 3% and topping estimates of 2.9%.

Most sectors on the S&P 500 closed on a positive note, with consumer discretionary, communication services and real estate stocks recording the biggest gains on Friday. However, energy and health care stocks bucked the overall market trend, closing the session lower.

The Dow Jones closed higher by around 231 points to 49,625.97 on Friday. The S&P 500 rose 0.69% to 6,909.51, while the Nasdaq Composite jumped 0.90% at 22,886.07 during Friday's session.

Major indices also recorded gains last week, with the Dow adding 0.3% and the S&P 500 gaining 1.1%. The tech-heavy Nasdaq also jumped 1.5% last week.

Investors are awaiting earnings results from Domino’s Pizza Inc. (NASDAQ:DPZ), Keysight Technologies Inc. (NYSE:KEYS) and ONEOK Inc. (NYSE:OKE) today.

What Is CNN Business Fear & Greed Index?

At a current reading of 42.6, the index remained in the “Fear” zone on Friday, versus a prior reading of 37.1.

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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