Investor Sentiment Drops Further After Dow Falls For Fourth Straight Session

The CNN Money Fear and Greed index showed further decline in overall sentiment among U.S. investors on Wednesday.

The Dow Jones dropped for a fourth day in a row on debt ceiling uncertainty. U.S. stocks resumed their downtrend following the publication of the May FOMC meeting minutes.

Abercrombie & Fitch Co. ANF shares jumped 31% on Wednesday after the company reported better-than-expected first-quarter results and raised FY23 net sales growth guidance.

The Dow Jones closed lower by around 255 points to 32,799.92 on Wednesday. The S&P 500 fell 0.73% at 4,115.24 , while the Nasdaq Composite fell 0.61% to settle at 12,484.16 during the session.

Investors are awaiting earnings results from Dollar Tree, Inc. DLTR, Best Buy Co., Inc. BBY and Costco Wholesale Corporation COST today.

At a current reading of 61.0, the index remained in the "Greed" zone, versus a previous reading of 66.0

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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