Markets Turn More Bullish Ahead Of Inflation Data, Fed's Rate Decision

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

The S&P 500 surged to its strongest level in 13 months on Monday ahead of inflation data and the Federal Reserve’s policy decision.

Markets are currently seeing around 72% chance that the Fed will maintain rates at its upcoming meeting.

Oracle ORCL shares gained 3.6% in the after-hours trading session after the company reported better-than-expected fourth-quarter results.

The Dow Jones closed higher by around 190 points to 34,066.33 on Monday. The S&P 500 rose 0.93% at 4,338.93, while the Nasdaq Composite added 1.53% to settle at 13,461.92 during the session.

Investors are awaiting earnings results from Motorcar Parts of America, Inc. MPAA, Iteris, Inc. ITI and MIND Technology, Inc. MIND today.

At a current reading of 78.0, the index remained in the "Extreme Greed" zone, versus a previous reading of 77.0

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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