The CNN Money Fear and Greed index showed further improvement in the overall market sentiment, while the index remained in the “Fear” zone on Friday.
U.S. stocks settled higher on Friday, with the S&P 500 recording its best week since Nov. 2023. The S&P 500 gained around 3.9%, while the Nasdaq and Dow Jones gained 5.2% and 2.9%, respectively, last week.
On the economic data front, housing starts in the U.S. declined by 6.8% from the prior month to an annualized rate of 1.238 million in July. Building permits dropped by 4% to an annual rate of 1.396 million in July. The University of Michigan consumer sentiment climbed to 67.8 in August from 66.4 in the prior month and topped market estimates of 66.9.
Data released last week showed retail sales came in stronger than projected, while weekly jobless claims declined.
Shares of NVIDIA Corporation NVDA were among the best performers in tech stocks, gaining more than 18% last week. H&R Block, Inc. HRB shares jumped over 12% on Friday after the company reported better-than-expected fourth-quarter financial results and issued FY25 guidance above estimates.
As far as the earnings season is concerned, around 93% of the S&P 500 companies have released quarterly results so far, with over 78% of those exceeding market estimates.
Most sectors on the S&P 500 closed on a positive note, with financials, information technology, and utilities stocks recording the biggest gains on Friday. However, industrials and energy stocks bucked the overall market trend, closing the session lower.
The Dow Jones closed higher by around 97 points to 40,659.76 on Friday. The S&P 500 rose 0.20% to 5,554.25, while the Nasdaq Composite gained 0.21% at 17,631.72 during Friday's session.
Investors are awaiting earnings results from The Estée Lauder Companies Inc. EL, Fabrinet FN, and Palo Alto Networks, Inc. PANW today.
What is CNN Business Fear & Greed Index?
At a current reading of 35.1, the index remained in the “Fear” zone on Friday, versus a prior reading of 33.1.
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.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
