The CNN Money Fear and Greed Index showed a further decline in overall market sentiment, but the index remained in the “Extreme Greed” zone on Monday.
US stocks closed lower on Monday, ahead of some important economic reports due out this week. Data on the personal consumption expenditure price index for January will be released on Thursday. Data on GDP growth, durable goods and manufacturing activity will also be released later this week.
All three major indexes posted gains last week, with the S&P 500 gaining about 1.7% and the Dow adding 1.3% for the week.
Actions of Domino's Pizza Inc. DPZ gained about 5.9% on Monday after the company reported better-than-expected fourth-quarter earnings. Intuitive Machines, Inc. MON Shares fell about 35% on Monday after the company said its lunar lander may have tipped over upon landing on the Moon.
In economic data, US building permits fell 0.3% to an annual rate of 1.489 million in January. Sales of new single-family homes in the US rose 1.5% from the previous month to an annualized rate of 661,000 in January.
Most S&P 500 sectors closed on a negative note, with utilities, communications services and real estate posting the biggest losses on Monday. However, energy and consumer discretionary stocks bucked the overall market trend, closing the session higher.
The Dow Jones closed down about 62 points at 39,069.23 on Monday. The S&P 500 fell 0.38% to 5,069.53, while the Nasdaq Composite fell 0.13% to 15,976.25 during Monday's session.
Investors are awaiting earnings results from The JM Smucker Company SJM, Macy's, Inc. METER, Macy's, Inc. LOWand AutoZone, Inc. AZO today.
With a current reading of 75.9, the index remained in the “extreme greed” zone on Monday, down from a previous reading of 77.5.
What is the CNN Business Fear and Greed Index?
The Fear & Greed Index is a measure of current market sentiment. It is based on the premise that greater fear puts pressure on stock prices, while greater greed has the opposite effect. The index is calculated based on seven equally weighted indicators. The index ranges from 0 to 100, where 0 represents maximum fear and 100 indicates maximum greed.
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