The CNN Money Fear and Greed index showed further improvement in market sentiment among US investors.
US stocks closed higher on Thursday as investors assessed the latest corporate earnings and economic reports.
GDP data released Thursday showed the US economy grew at an annualized rate of 2.9% in the fourth quarter, up from market expectations for 2.8%.
Tesla (NASDAQ:TSLA) shares surged 11% on Thursday after the company reported better-than-expected Q4 results. IBM (NYSE:IBM) shares fell 4.5% after the company released Q4 earnings results.
The Dow closed higher by over 205 points to 33,949.41 on Thursday. The S&P 500 gained 1.10% to 4,060.43, while the Nasdaq Composite jumped 1.76% to settle at 11,512.41 in the session.
Investors are awaiting earnings results from American Express Company (NYSE:AXP), Chevron Corporation (NYSE:CVX) and Charter Communications, Inc. (NASDAQ:CHTR) today.
At a current reading of 69.0, the index remained in the “Greed” zone, compared to a previous reading of 64.0.
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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