Investor Fear Eases Ahead Of Big Earnings

The CNN Money Fear and Greed index showed some easing in the fear level, but remained in the "Fear" zone on Monday.

U.S. stocks settled sharply higher, while Treasury yields rose on Monday as investors continued to monitor the ongoing Israel-Hamas conflict.

The Charles Schwab Corporation SCHW reported better-than-expected earnings for the third quarter.

On the economic data front, the NY Empire State Manufacturing Index declined to -4.6 in October from 1.9 in the prior month, compared to market estimates for a reading of -7.

All sectors on the S&P 500 closed on a positive note, with consumer discretionary and communication services stocks recording the biggest gains on Monday.

The Dow Jones closed higher by around 314 points to 33,984.54 on Monday. The S&P 500 rose 1.06% at 4,373.63, while the Nasdaq Composite rose 1.20% at 13,567.98 during Monday’s session.

Investors are awaiting earnings results from Bank of America Corporation BAC, The Goldman Sachs Group, Inc GS and United Airlines Holdings, Inc. UAL today.

At a current reading of 35.6, the index remained in the "Fear" zone on Monday, compared to a previous reading of 33.7.

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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