Benzinga - by Lisa Levin, Benzinga Editor.
The CNN Money Fear and Greed index showed further growth in the overall fear level, with the index inching closer towards the "Extreme Fear" zone on Thursday.
U.S. stocks closed lower on Thursday, as investors assessed recent earnings and economic reports.
Meta Platforms, Inc. (NASDAQ: META) reported better-than-expected results for its third quarter. The company said it sees fourth-quarter revenue coming in a range of $36.5 billion to $40 billion. Mattel, Inc. (NASDAQ: MAT) shares fell 7.6% on Thursday after reporting third-quarter results.
On the economic data front, the U.S. economy grew an annualized 4.9% in the third quarter, higher than market expectations of 4.3% and compared to a 2.1% growth in the second quarter. U.S. initial jobless claims increased by 10,000 to 210,000 in the week ending Oct. 21, above market estimates of 208,000.
Most sectors on the S&P 500 closed on a negative note, with communication services, consumer discretionary and information technology stocks recording the biggest losses on Thursday. However, real estate, utilities and materials stocks bucked the overall market trend, closing the session higher.
The Dow Jones closed lower by around 252 points to 32,784.30 on Thursday. The S&P 500 fell 1.18% at 4,137.23, while the Nasdaq Composite fell 1.76% at 12,595.61 during Thursday’s session.
Investors are awaiting earnings results from Chevron Corporation (NYSE: CVX), Phillips 66 (NYSE: PSX) and AutoNation, Inc. (NYSE: AN) today.
At a current reading of 25.7, the index remained in the "Fear" zone on Thursday, compared to a previous reading of 27.3.
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.
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