Dow Ends Three-Session Win Streak Following Jobs Report: Investor Sentiment Declines, Fear & Greed Index Remains In 'Neutral' Zone

The CNN Money Fear and Greed index showed further decline in the overall market sentiment, while the index remained in the “Neutral” zone on Wednesday.

U.S. stocks settled mostly lower on Wednesday, with the Dow Jones index falling more than 50 points during the session, snapping a three-session win streak.

Micron Technology Inc. (NASDAQ:MU) jumped around 10% after Morgan Stanley raised its price target to $450.

On the economic data front, nonfarm payrolls rose by 130,000, nearly double economists’ expectations of 70,000, with private-sector employment accounting for 172,000 of those gains. The unemployment rate also unexpectedly declined to 4.3% from 4.4%.

Most sectors on the S&P 500 closed on a positive note, with energy, materials and consumer staples stocks recording the biggest gains on Wednesday. However, financial and communication services stocks bucked the overall market trend, closing the session lower.

The Dow Jones closed lower by around 67 points to 50,121.40 on Wednesday. The S&P 500 slipped 0.01% to 6,941.47, while the Nasdaq Composite dipped 0.16% at 23,066.47 during Tuesday’s session.

What Is CNN Business Fear & Greed Index?

At a current reading of 48.9, the index remained in the “Neutral” zone on Wednesday, versus a prior reading of 50.9.

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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