The CNN Money Fear and Greed index showed a decline in the overall market sentiment, while the index remained in the "Greed" zone on Tuesday.

U.S. stocks closed lower on Tuesday, with the Dow Jones index recording losses for the second straight session. The 30-stock Dow also recorded its worst day since March 5.

On the economic data front, U.S. factory orders increased by 1.4% from the prior month to $576.8 billion in February, following a revised 3.8% decline in January. The number of job openings rose by 8,000 from the prior month to 8.756 million in February compared to market estimates of 8.75 million.

VivoPower International PLC ( VVPR ) shares jumped around 304% on Tuesday after the company's Tembo subsidiary announced it will merge with the Nasdaq-listed Cactus Acquisition Corp. 1 Limited.

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

The Dow Jones closed lower by around 397 points to 39,170.24 on Tuesday. The S&P 500 fell 0.72% at 5,205.81, while the Nasdaq Composite dipped 0.95% at 16,240.45 during Tuesday's session.

Investors are awaiting earnings results from Sportsman's Warehouse Holdings, Inc. , Sportsman's Warehouse Holdings, Inc. and Acuity Brands, Inc. ( AYI ) today.

At a current reading of 63.2, the index remained in the "Greed" zone on Tuesday, versus a prior reading of 64.5.

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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