Traders More Optimistic Ahead Of Big Tech Earnings

The CNN Money Fear and Greed index showed further improvement in the investor sentiment after the US stocks recorded gains on Monday.

All the three major indices recorded gains on Monday, extending gains recorded last week.

Investors are now awaiting earnings results from big tech companies including, Microsoft Corporation MSFT and Alphabet Inc. GOOG, scheduled for release today. Apple Inc. AAPL and Amazon.com, Inc. AMZN are due to report results on Thursday.

The Dow jumped 1.34% to close at 31,499.62 on Monday, while the S&P 500 rose 1.19% to 3,797.34. The Nasdaq Composite climbed 0.86% to settle at 10,952.61 in the previous session, following gains in Microsoft Corporation MSFT, Apple Inc. AAPL and Amazon.com, Inc. AMZN shares.

At a current reading of 50.0, the index moved to the "Neutral" zone, following a previous reading of 47.0.

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.