Investor Fear Eases After US Stocks Snap 4-Session Losing Streak

The CNN Money Fear and Greed index remained in the "Fear" zone on Monday.

U.S. stocks closed higher on Monday, with all three major indices snapping four-session losing streaks.

On the economic data front, the Chicago Fed National Activity Index declined to -0.16 in August versus a revised reading of 0.07 in July.

Amazon Inc. AMZN shares gained 1.7% on Monday after the company announced a strategic investment of up to $4 billion in Anthropic, an emerging AI company, as the e-commerce giant seeks to harness the potential of artificial intelligence in diverse applications across its business.

Most sectors on the S&P 500 closed on a positive note, with energy and materials stocks recording the biggest gains on Monday. However, consumer staples, utilities and real estate stocks bucked the overall market trend, closing the session lower.

The Dow closed higher by around 43 points to 34,006.88 on Monday. The S&P 500 rose 0.40% at 4,337.44, while the Nasdaq Composite added 0.45% at 13,271.32 during Monday’s session.

Investors are awaiting earnings results from TD SYNNEX Corporation SNX, Cintas Corporation CTAS and Costco Wholesale Corporation COST today.

At a current reading of 38, the index remained in the "Fear" zone on Monday, compared to a previous reading of 34.3.

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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