The CNN Money Fear and Greed index moved to the “Greed” zone after the Dow Jones jumped more than 400 points on Thursday.
U.S. stocks settled higher on Thursday investors pinned their hopes on congressional leaders and President Joe Biden to reach an agreement on the U.S. debt ceiling.
Regional bank shares also recovered on Wednesday, providing a boost to the overall market sentiment.
Target Corporation TGT shares gained around 2.5% on Wednesday after the company reported better-than-expected Q1 financial results.
The Dow Jones closed higher by around 409 points to 33,420.77 on Wednesday. The S&P 500 rose 1.19% at 4,158.77, while the Nasdaq Composite rose 1.28% to settle at 12,500.57 during the session.
Investors are awaiting earnings results from Walmart Inc. WMT, Alibaba Group Holding Limited BABA and Applied Materials, Inc. AMAT today.
At a current reading of 61.0, the index moved to the “Greed” zone, versus a previous reading of 55.0
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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Image and article originally from www.benzinga.com. Read the original article here.