Fear and Greed Index returns to the 'Fear' zone amid sharp decline in US stocks
The CNN Money Fear and Greed Index moved back into the "fear" zone after US stocks posted steep losses on Tuesday.
According to data from the US Bureau of Labor Statistics, the headline CPI rose 8.3% in August, from 8.5% in July. The August CPI reading beat economists' average estimates by 8%.
Markets now expect interest rate hikes of at least 75 basis points at the next Fed meeting, with some also seeing a one-point hike percentage.
The Dow fell 3.94% to close at 31,104.97 on Tuesday. The S&P 500 fell 4.32% to 3,932.69, while the Nasdaq Composite fell 5.16% to 11,633.57 in the previous session, amid falling stocks , including Apple Inc. AAPL and Amazon.com, Inc. AMZN.
Investors are now awaiting results from BRP Inc. DOOO and Tsakos Energy Navigation Limited TNP, due for release today.
At a current reading of 42.0, the index has moved back into the fear zone, after a previous reading of 49.0.
What is the CNN Business Fear & Greed Index?
The Fear & Greed Index is a measure of current market sentiment. It is based on the premise that higher fear puts pressure on stock prices, while higher greed has the opposite effect. The index is calculated on the basis of seven equally weighted indicators. The index ranges from 0 to 100, where 0 represents maximum fear and 100 signals maximum greed.
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
The CNN Money Fear and Greed Index moved back into the "fear" zone after US stocks posted steep losses on Tuesday.
According to data from the US Bureau of Labor Statistics, the headline CPI rose 8.3% in August, from 8.5% in July. The August CPI reading beat economists' average estimates by 8%.
Markets now expect interest rate hikes of at least 75 basis points at the next Fed meeting, with some also seeing a one-point hike percentage.
The Dow fell 3.94% to close at 31,104.97 on Tuesday. The S&P 500 fell 4.32% to 3,932.69, while the Nasdaq Composite fell 5.16% to 11,633.57 in the previous session, amid falling stocks , including Apple Inc. AAPL and Amazon.com, Inc. AMZN.
Investors are now awaiting results from BRP Inc. DOOO and Tsakos Energy Navigation Limited TNP, due for release today.
At a current reading of 42.0, the index has moved back into the fear zone, after a previous reading of 49.0.
What is the CNN Business Fear & Greed Index?
The Fear & Greed Index is a measure of current market sentiment. It is based on the premise that higher fear puts pressure on stock prices, while higher greed has the opposite effect. The index is calculated on the basis of seven equally weighted indicators. The index ranges from 0 to 100, where 0 represents maximum fear and 100 signals maximum greed.
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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