Dow Jumps Over 300 Points On Iran Ceasefire Hopes: Fear & Greed Index Remains In 'Extreme Fear' Zone

The CNN Money Fear and Greed index showed some 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 Dow Jones index gaining more than 300 points during the session as crude oil prices retreated sharply on reports that Washington is pursuing diplomatic talks with Tehran — even as Iranian officials formally denied any progress. Reports that the U.S. had delivered Iran a 15-point proposal and was seeking a one-month ceasefire to facilitate talks proved sufficient to spark a broad-based relief bid across equities. In earnings, Chewy Inc. (NYSE:CHWY) shares jumped around 13% on Wednesday after the online pet‑care retailer delivered a stronger‑than‑expected fourth quarter and rolled out a solid fiscal guidance for 2026. Cintas Corp. (NASDAQ:CTAS) posted better-than-expected third-quarter profit and raised its full-year forecast. On the economic data front, the U.S. current account deficit shrank to $190.7 billion in the fourth quarter from $239.1 billion in the prior period. Most sectors on the S&P 500 closed on a positive note, with consumer discretionary, materials and health care stocks recording the biggest gains on Wednesday. However, energy and real estate stocks bucked the overall market trend, closing the session lower. The Dow Jones closed higher by around 305 points to 46,429.49 on Wednesday. The S&P 500 rose 0.54% to 6,591.90, while the Nasdaq Composite gained 0.77% at 21,929.83 during Wednesday's session. Investors are awaiting earnings results from Commercial Metals Co. (NYSE:CMC), Designer Brands Inc. (NYSE:DBI) and Shoe Carnival Inc. (NASDAQ:SCVL) today. What Is CNN Business Fear & Greed Index? At a current reading of 19.3, the index remained in the “Extreme Fear” zone on Wednesday, versus a prior reading of 18.8. 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. Photo via Shutterstock