Fear & Greed Index Remains In 'Greed' Zone Ahead Of Earnings

The CNN Money Fear and Greed index remained in the "Greed" zone after US stocks dropped Monday to start the holiday-shortened trading week.

Investors were concerned that China may tighten covid-19 restrictions after recording deaths related to the virus.

Investors also continued to monitor comments from Federal Reserve officials.

Shares of The Walt Disney Company DIS gained over 6% on Monday after the company announced Bob Iger will return as CEO.

The Dow dropped 0.13% to close at 33,700.28 on Monday. The S&P 500 fell 0.39% to 3,949.94, while the Nasdaq Composite fell 1.09% to settle at 11,024.51 in the previous session.

Best Buy Co., Inc. BBY, Dollar Tree, Inc. DLTR, HP Inc. HPQ and Medtronic plc MDT are set to report quarterly earnings today.

At a current reading of 62.0, the index remained in the "Greed" zone, compared to a previous reading of 62.0.

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.