The CNN Money Fear and Greed index showed some easing in the overall fear level, while the index remained in the “Extreme Fear” zone on Tuesday.

U.S. stocks settled lower on Tuesday, with the S&P 500 moving lower after recording sharp gains in the previous session.

Iran and Israel continued to trade strikes through Tuesday morning, and the Wall Street Journal reported that Saudi Arabia and the UAE were edging closer to joining the conflict against Tehran, adding yet another geopolitical dimension to an already fraught situation.

In earnings, Core & Main Inc. ( CNM ) posted mixed results for the fourth quarter on Tuesday.

On the economic data front, the flash S&P Global composite PMI declined to 51.4 in March from 51.9 in February, recording its lowest reading since April 2025. Unit labor costs in the nonfarm business sector increased by 4.4% in the fourth quarter, up from a preliminary reading of 2.8% and following a 1% gain in the third quarter. U.S. nonfarm business labor productivity rose by 1.8% in the fourth quarter, compared to the preliminary reading of 2.8% and versus the 5.2% surge in the previous quarter.

Most sectors on the S&P 500 closed on a positive note, with energy, materials and utilities stocks recording the biggest gains on Tuesday. However, communication services and real estate stocks bucked the overall market trend, closing the session lower.

The Dow Jones closed lower by around 84 points to 46,124.06 on Tuesday. The S&P 500 fell 0.37% to 6,556.37, while the Nasdaq Composite declined 0.84% at 21,761.89 during Tuesday's session.

Investors are awaiting earnings results from Chewy Inc. ( CHWY ) , Cintas Corp. ( CTAS ) and Paychex Inc. ( PAYX ) today.

What Is CNN Business Fear & Greed Index?

At a current reading of 16.9, the index remained in the “Extreme Fear” zone on Tuesday, versus a prior reading of 14.9.

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.