The CNN Money Fear and Greed index moved to the “Extreme Greed” zone on Friday following the release of US jobs report.
The US economy unexpectedly added 517,000 jobs in January, the most since July, while the unemployment rate declined to 3.4% in January. US services industry activity also recovered strongly in January.
The Dow closed lower by around 124 points to 33,926.01 on Friday. The S&P 500 dropped 1.04% to 4,136.48, while the Nasdaq Composite dropped 1.59% to settle at 12,006.96 in the session.
Investors are awaiting earnings results from
Activision Blizzard, Inc.ATCI
,
Pinterest, Inc.PINS
and
Tyson Foods, Inc.TSN
today.
At a current reading of 76.0, the index moved to the “Extreme Greed” zone, compared to a previous reading of 72.0.
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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