The CNN Money Fear and Greed index moved to the “Greed” zone after US stocks closed higher on Friday.
The Dow Jones and S&P 500 recorded gains on Friday, snapping a three-session losing streak. The Nasdaq recorded sharp gains for the week, adding 0.55% gain to record its third positive week in a row.
Alphabet Inc. GOOGL shares gained 5.3% on Friday after the company said it will eliminate 12,000 jobs.
The Dow closed lower by around 331 points to 33,375.49 on Friday. The S&P 500 rose 1.89% to 3,972.61, while the Nasdaq Composite jumped 2.66% to settle at 11,140.43 in the session.
Investors are awaiting earnings results from Baker Hughes Company BKR, Synchrony Financial SYF and Brown & Brown, Inc. BRO today.
At a current reading of 59.0, the index moved to the “Greed” zone, compared to 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.