The CNN Money Fear and Greed index showed further easing in the overall fear level, while the index remained in the “Extreme Fear” zone on Wednesday.

U.S. stocks settled higher on Wednesday, with the Nasdaq Composite gaining more than 1% during the session.

President Donald Trump stated the U.S. could end its military campaign "within two or three weeks." He noted that Iran would not need to agree to specific terms for a withdrawal.

In earnings, RH (NYSE:RH) shares dropped 19% on Wednesday as the company reported worse-than-expected fourth-quarter financial results and issued FY26 sales guidance below estimates on Tuesday. Nike Inc (NYSE:NKE) fell more than 15% despite the company reported better-than-expected financial results for the third quarter of fiscal 2026. The company said it sees fourth-quarter sales of $10.656 billion to $10.878 billion, versus market estimates of $11.236 billion.

On the economic data front, the ISM manufacturing PMI rose to 52.7 in March from 52.4 in the previous month and topping market estimates of 52.5. U.S. retail sales rose 0.6% month-over-month in February following a 0.1% decline in January and above market estimates of a 0.5% gain. U.S. private businesses added a net 62,000 jobs in March following a revised 66,000 in the previous month.

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

The Dow Jones closed higher by around 224 points to 46,565.74 on Wednesday. The S&P 500 jumped 0.72% to 6,575.32, while the Nasdaq Composite surged 1.16% at 21,840.95 during Wednesday's session.

Investors are awaiting earnings results from Acuity Inc (NYSE:AYI), Lindsay Corp (NYSE:LNN) and AngioDynamics, Inc. (NASDAQ:ANGO) today.

At a current reading of 15.9, the index remained in the “Extreme Fear” zone on Wednesday, versus a prior reading of 15.3.

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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