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Investor Optimism Eases Further As Treasury Yields Rise; Dow Falls For Third Consecutive Session

Published 18/01/2024, 09:04
© Reuters.  Investor Optimism Eases Further As Treasury Yields Rise; Dow Falls For Third Consecutive Session
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Benzinga - by Avi Kapoor, Benzinga Staff Writer.

The CNN Money Fear and Greed index showed further easing in overall market sentiment, while the index remained in the "Greed" zone on Wednesday.

U.S. stocks closed lower on Wednesday, with the Dow Jones index falling for the third straight session amid an increase in Treasury yields. The benchmark 10-year Treasury note yield rose to 4.102% during Wednesday’s session.

Shares of U.S. Bancorp (NYSE: USB) fell over 1% on Wednesday after reporting results for its fourth quarter. Charles Schwab Corporation (NYSE: SCHW), meanwhile, reported better-than-expected fourth-quarter earnings.

On the economic data front, retail sales in the U.S. rose 0.6% month-over-month in December compared to a 0.3% increase in November, while industrial production rose by 0.1% from the prior month in December. The NAHB/Wells Fargo Housing Market Index climbed to 44 in January from 37 in the prior month.

All sectors on the S&P 500 closed on a negative note, with real estate and utilities stocks recording the biggest losses on Wednesday.

The Dow Jones closed lower by around 94 points to 37,266.67 on Wednesday. The S&P 500 fell 0.56% at 4,739.21, while the Nasdaq Composite fell 0.59% at 14,855.62 during Wednesday’s session.

Investors are awaiting earnings results from M&T Bank Corporation (NYSE: MTB), Fastenal Company (NASDAQ: FAST), and PPG Industries, Inc. (NYSE: PPG) today.

The index remained in the "Greed" zone on Wednesday, at a current reading of 57.6, compared to a prior reading of 63.3.

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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© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

Read the original article on Benzinga

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