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Nasdaq Tumbles 2% Amid Rate-Hike Fears: Fear & Greed Index Remains In 'Extreme Fear' Zone
Benzinga· 2026-03-23 05:12
Market Overview - U.S. stocks experienced a decline, with the Nasdaq Composite falling by 2% as investors reacted to the ongoing U.S.-Israel conflict with Iran, marking the fourth consecutive week of losses for major indices [1][3] - The Dow Jones closed lower by approximately 444 points at 45,577.47, while the S&P 500 decreased by 1.51% to 6,506.48, and the Nasdaq Composite dropped by 2.01% to 21,647.61 [3] Investor Sentiment - The CNN Money Fear and Greed index indicated an increase in overall fear, remaining in the "Extreme Fear" zone with a current reading of 14.6, down from a previous reading of 17.3 [1][4] - The index is designed to measure market sentiment, suggesting that heightened fear can negatively impact stock prices [5] Economic Indicators - Interest-rate markets are currently pricing in a roughly 50% probability of a Federal Reserve rate hike by October [2] - The U.S. Baker Hughes oil rig count rose by 2 to a total of 414 in the latest week, indicating a slight increase in oil production activity [2] Sector Performance - Most sectors within the S&P 500 closed negatively, with utilities, real estate, and information technology stocks experiencing the largest losses [2] - Conversely, energy and financial stocks managed to close higher, defying the overall market trend [2]