The CNN Money Fear and Greed index showed an increase in overall fear, while it remained in the “Extreme Fear” zone on Friday.

U.S. stocks settled lower on Friday, with the Nasdaq Composite dipping 2% during the session as investors continued monitoring the U.S.-Israel conflict with Iran. U.S. major indices recorded their fourth losing week in a row.

In an official statement, Iran reiterated its hardline stance on the Strait of Hormuz, saying it will not engage in any discussions while under attack.

Interest-rate markets now price in a roughly 50% probability of a Federal Reserve rate hike by October.

In earnings, Xpeng Inc. ( XPEV ) shares fell by more than 8% on Friday after the company reported worse-than-expected fourth-quarter sales results and issued soft first-quarter delivery guidance. Planet Labs PBC ( PL ) shares jumped over 25% after the company reported better-than-expected fourth-quarter sales results and issued FY27 guidance above estimates.

On the economic data front, the U.S. Baker Hughes oil rig count increased by 2 to 414 in the latest week.

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

The Dow Jones closed lower by around 444 points to 45,577.47 on Friday. The S&P 500 fell 1.51% to 6,506.48, while the Nasdaq Composite declined 2.01% at 21,647.61 during Friday's session.

Investors are awaiting earnings results from Caledonia Mining Corp. PLC ( CMCL ) , BioNano Genomics Inc. ( BNGO ) and Agi Inc. ( AGBK ) today.

What Is CNN Business Fear & Greed Index?

At a current reading of 14.6, the index remained in the “Extreme Fear” zone on Thursday, versus a prior reading of 17.3.

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.