The CNN Money Fear and Greed index showed a slight decline in the overall market sentiment, while the index remained in the “Greed” zone on Wednesday.
U.S. stocks settled mostly higher on Wednesday, with the Dow Jones index surging to a fresh record during the session as oil prices moved lower.
The Iranian state media reportedly announced a draft framework to reopen the Strait of Hormuz, only for the White House to deny the document. Speaking from his Cabinet meeting, President Donald Trump tempered ceasefire optimism, telling reporters, "We're not there yet on an Iran deal."
In earnings, shares of Dick's Sporting Goods Inc. (NYSE:DKS) fell around 6% on Wednesday after the company reported mixed results for the first quarter. Dycom Industries Inc (NYSE:DY) shares jumped around 26% on Wednesday as the company reported better-than-expected first-quarter sales results and raised its FY27 sales guidance above estimates.
On the economic data front, the Federal Reserve's Fifth District manufacturing index rose by 10 points to a reading of 13 in May.
Most sectors on the S&P 500 closed on a negative note, with energy, financial and utilities stocks recording the biggest losses on Wednesday. However, consumer staples and consumer discretionary stocks closed the session higher.
The Dow Jones closed higher by around 183 points to 50,644.28 on Wednesday. The S&P 500 rose 0.02% to 7,520.36, while the Nasdaq Composite gained 0.07% at 26,674.73 during Wednesday's session.
Investors are awaiting earnings results from Best Buy Co Inc. (NYSE:BBY), Dollar Tree Inc. (NASDAQ:DLTR) and Costco Wholesale Corp. (NASDAQ:COST) today.
What Is CNN Business Fear & Greed Index?
At a current reading of 60.7, the index remained in the “Greed” zone on Tuesday, versus a prior reading of 60.9.
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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