The CNN Money Fear and Greed index showed a decline in overall market sentiment, while the index remained in the “Neutral” zone on Wednesday.

U.S. stocks settled lower on Wednesday, with the Dow Jones index falling over 300 points during the session after the benchmark 10-year Treasury note yield surged to its highest level since April 2002.

On the economic data front, the volume of mortgage applications dropped by 4.2% in the week ending Oct. 2, recording the fifth straight decline.

Eli Lilly and Co. (NYSE:LLY) gained 2.7% as Morgan Stanley maintained its Overweight rating, with investors also digesting Lilly’s $870 million deal with Gate.

Most sectors on the S&P 500 closed on a negative note, with industrials, materials and real estate stocks recording the biggest losses on Wednesday. However, health care and consumer discretionary stocks bucked the overall market trend, closing the session higher.

The Dow Jones closed lower by around 341 points to 51,179.87 on Wednesday. The S&P 500 fell 0.22% to 7,801.77, while the Nasdaq Composite declined 0.22% at 27,538.69 during Wednesday’s session.

Investors are awaiting earnings results from Helen of Troy Ltd (NASDAQ:HELE), PepsiCo Inc (NASDAQ:PEP) and Tilray Brands Inc (NASDAQ:TLRY) today.

At a current reading of 45, the index remained in the “Neutral” zone on Wednesday, versus a prior reading of 47.

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.

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