U.S. equities guide
How does the Stock Market Fear & Greed Index work?
The current independent U.S. equity reading is 66 (Greed). Here is what the composite measures—and what the number leaves out.
A stock market Fear & Greed Index combines several observable market behaviors into a score from 0 to 100. Low values describe defensive, stressed conditions. High values describe stronger risk appetite. It is a summary of current conditions, not a valuation model or forecast.
There is no single universal index
“The Fear & Greed Index” often refers to CNN’s seven-indicator measure, but other publishers calculate independent versions with different inputs, weights, baselines, and update times. Scores should always be read with their source and methodology attached.
Our U.S. stocks page displays an independently calculated five-component composite from FearGreedChart.com. It is not CNN’s index, and we label it accordingly.
The five components
Market volatility
The VIX is compared with its recent moving average. Higher-than-usual expected volatility generally indicates more demand for protection and therefore more fear.
Market momentum
The S&P 500’s level is compared with a longer-term moving average. Sustained strength above trend is associated with greed; weakness below trend is associated with fear.
Options positioning
Options-market behavior helps distinguish demand for downside protection from demand for upside exposure. No single ratio is a perfect proxy, so the exact implementation matters.
Safe-haven demand
Relative performance of stocks and long-duration Treasury bonds indicates whether investors prefer risk assets or defense.
Junk-bond appetite
High-yield credit is compared with investment-grade bonds. Willingness to own lower-quality debt can signal stronger risk appetite.
How to read the score
Read level, direction, and duration together. A score of 30 climbing from 10 is not the same setup as a score of 30 falling from 60. A one-day change can reflect noise; a sustained regime can describe a more durable shift in positioning.
Sentiment can tell you when behavior is stretched. It cannot tell you exactly when that stretch will end.
What it misses
- Company earnings and cash-flow expectations.
- Valuation and the price paid for those earnings.
- Your investment horizon and capacity for loss.
- Concentration beneath the headline index.
- The possibility that a strong trend remains strong.
A better workflow
- Identify the current regime and recent direction.
- Inspect the individual components for agreement or divergence.
- Compare sentiment with market breadth, fundamentals, and valuation.
- Make decisions from a defined process rather than the headline number.
See today’s U.S. stock reading, compare it with crypto sentiment, or inspect the full methodology.