S&P 500, Nasdaq Record Best Week Of Year As Alphabet, Super Micro Surge: Fear & Greed Index Moves To 'Neutral' Zone

The CNN Money Fear and Greed index showed an improvement in the overall market sentiment, while the index moved to the “Neutral” zone on Friday.

U.S. stocks settled higher on Friday, with the S&P 500 and the Nasdaq Composite recording their best week of the year. Both indices also notched gains for the fifth straight day. On a weekly basis, the S&P 500 gained 4%, while the Nasdaq added 5.9%. The Dow has climbed 2.6% last week.

Shares of Alphabet Inc. GOOGL GOOG gained 1.8%, while Super Micro Computer, Inc. SMCI rose 3.4% on Friday.

Data released last week showed that consumer prices rose 2.5% on an annualized basis, while wholesale prices increased 0.2% month-over-month in August.

All sectors on the S&P 500 closed on a positive note, with communication services, utilities, and industrial stocks recording the biggest gains on Friday.

The Dow Jones closed higher by around 297 points to 41,393.78 on Friday. The S&P 500 rose 0.54% to 5,626.02, while the Nasdaq Composite jumped 0.65% at 17,683.98 during Friday's session.

Investors are awaiting earnings results from Coda Octopus Group, Inc. CODA, Vince Holding Corp. VNCE, and RF Industries, Ltd. RFIL today.

What is CNN Business Fear & Greed Index?

At a current reading of 49.1, the index moved to the “Neutral” zone on Friday, versus a prior reading of 44.8.

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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