Investor Worries Ease Amid Falling Treasury Yields But Stay In 'Fear' Zone

The CNN Money Fear and Greed index showed further easing in the fear level but remained in the "Fear" zone on Tuesday.

U.S. stocks settled higher on Tuesday, as investors assessed the ongoing conflict between Israel and the Palestinian militant group Hamas.

The benchmark 10-year Treasury yield declined to around 4.65%, with investors preferring safe assets amid the ongoing conflict. Crude oil prices also eased after recording sharp gains in the previous session.

PepsiCo Inc PEP reported better-than-expected earnings for its third quarter on Tuesday.

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

The Dow Jones closed higher by around 135 points to 33,739.30 on Tuesday. The S&P 500 rose 0.52% at 4,358.24, while the Nasdaq Composite gained 0.58% at 13,562.84 during Tuesday’s session.

Investors are awaiting earnings results from Richardson Electronics, Ltd. RELL today.

At a current reading of 31.9, the index remained in the "Fear" zone on Tuesday, compared to a previous reading of 30.7.

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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