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Investor Sentiment Eases Following Inflation Data; Bank Earnings In Focus

Published 12/01/2024, 08:31
Updated 12/01/2024, 09:40
© Reuters.  Investor Sentiment Eases Following Inflation Data; Bank Earnings In Focus
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Benzinga - by Avi Kapoor, Benzinga Staff Writer.

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

U.S. stocks closed mixed on Thursday following the release of a fresh round of inflation data.

U.S. consumer prices increased by 0.3% month-over-month in December compared to a 0.1% rise in November and versus market estimates of 0.2%. The annual inflation rate rose to 3.4% in December versus a five-month low level of 3.1% in November, and compared to market estimates of 3.2%.

Other data released Thursday showed U.S. initial jobless claims declined by 1,000 from the prior week’s revised reading of 202,000 in the period ending Jan, 6, compared to market expectations of 210,000.

Shares of Richardson Electronics, Ltd. (NASDAQ: RELL) fell 19% on Thursday after the company posted weaker-than-expected results for its second quarter.

Most sectors on the S&P 500 closed on a negative note, with utilities and real estate stocks recording the biggest losses on Thursday. However, information technology and energy stocks bucked the overall market trend, closing the session higher.

The Dow Jones closed higher by around 15 points to 37,711.02 on Thursday. The S&P 500 fell 0.07% at 4,780.24, while the Nasdaq Composite rose 0.01% at 14,970.18 during Thursday’s session.

Investors are awaiting earnings results from Citigroup Inc. (NYSE: C), Bank of America Corporation (NYSE: BAC), JPMorgan Chase & Co. (NYSE: JPM) and Delta Air Lines, Inc. (NYSE: DAL) today.

At a current reading of 72.5, the index remained in the "Greed" zone on Thursday versus a prior reading of 74.

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.

Read Next: Bank of America Likely To Report Lower Q4 Earnings; These Most Accurate Analysts Revise Forecasts Ahead Of Earnings Call

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

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