The CNN Money Fear and Greed index showed a further decline in the overall market sentiment, with the index remaining in the "Neutral" zone on Wednesday.

U.S. stocks closed lower on Wednesday following the release of inflation data for March.

U.S. annual inflation rate rose for a second consecutive month to 3.5% in March from 3.2% in February. U.S. wholesale inventories increased by 0.5% month-over-month in February compared to a 0.2% decline in the previous month.

Delta Air Lines, Inc. ( DAL ) reported better-than-expected first-quarter earnings on Wednesday.

Most sectors on the S&P 500 closed on a negative note, with real estate, utilities and materials stocks recording the biggest losses on Wednesday. However, energy stocks bucked the overall market trend, closing the session higher.

The Dow Jones closed lower by around 422 points to 38,461.51 on Wednesday. The S&P 500 dipped 0.95% at 5,160.64, while the Nasdaq Composite tumbled 0.84% at 16,170.36 during Wednesday's session.

Investors are awaiting earnings results from CarMax, Inc. ( KMX ) , Constellation Brands, Inc. ( STZ ) and Fastenal Co ( FAST ) today.

At a current reading of 54, the index remained in the "Neutral" zone on Wednesday, versus a prior reading of 54.8.

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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