The CNN Money Fear and Greed index showed a decline in the overall market sentiment, while the index remained in the “Extreme Fear” zone on Thursday.

U.S. stocks settled lower on Thursday, with the Dow Jones index falling more than 500 points during the session following the release of economic data.

U.S. producer prices came in unchanged in February from January compared to a revised 0.6% increase in the previous period and versus estimates of a 0.3% gain. U.S. initial jobless claims declined by 2,000 to 220,000 in the first week of March, compared to market estimates of 225,000.

On Thursday, U.S. President Donald Trump threatened to impose a 200% tariff on European wine and spirits imports unless the EU eliminates its 50% tariff on U.S. whiskey.

Shares of Dollar General Corporation ( DG ) gained around 7% on Thursday after the company reported better-than-expected fourth-quarter sales results. UiPath Inc. ( PATH )  shares dipped around 16% after the company reported a fourth-quarter revenue miss and issued first-quarter revenue guidance below estimates.

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

The Dow Jones closed lower by around 537 points to 40,813.57 on Thursday. The S&P 500 fell 1.39% to 5,521.52, while the Nasdaq Composite dipped 1.96% at 17,303.01 during Thursday's session.

Investors are awaiting earnings results from Li Auto Inc ( LI ). , RLX Technology Inc ( RLX ). and The Buckle, Inc ( BKE ). today.

At a current reading of 14.8, the index remained in the “Extreme Fear” zone on Thursday, versus a prior reading of 20.7.

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:

Top 3 Health Care Stocks You’ll Regret Missing This Quarter