Dow Jumps 400 Points As Senate Approves Tax Bill: Investor Sentiment Edges Lower, But Fear Index Remains In 'Greed' Zone

The CNN Money Fear and Greed index showed some decline in the overall market sentiment, while the index remained in the “Greed” zone on Tuesday.

U.S. stocks settled mixed on Tuesday, with the Dow Jones index gaining 400 points during the session. The U.S. Senate approved President Donald Trump’s “One Big, Beautiful Bill.”

On the economic front, the number of job openings climbed by 374,000 to 7.769 million in May. The ISM manufacturing PMI rose to 49 in June versus 48.5 in the previous month, compared to market estimates of 48.8. U.S. construction spending declined by 0.3% month-over-month to an annual rate of $2,138 billion in May.

MSC Industrial Direct Co. Inc. MSM posted better-than-expected financial results for its fiscal third quarter of 2025.

Most sectors on the S&P 500 closed on a positive note, with materials, health care and energy stocks recording the biggest gains on Tuesday. However, information technology and communication services bucked the overall market trend, closing the session lower.

The Dow Jones closed higher by around 400 points to 44,494.94 on Tuesday. The S&P 500 fell 0.11% to 6,198.01, while the Nasdaq Composite declined 0.82% to 20,202.89 during Tuesday's session.

Investors are awaiting earnings results from UniFirst Corp. UNF and The Greenbrier Companies Inc. GBX today.

What is CNN Business Fear & Greed Index?

At a current reading of 65.2, the index remained in the “Greed” zone on Tuesday, versus a prior reading of 65.5.

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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