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

U.S. stocks settled higher on Thursday, with the Nasdaq Composite gaining more than 100 points during the session. The S&P 500 also hit another all-time closing high on Thursday.

On the economic front, U.S. GDP growth for the second quarter was revised higher to 3.3% from an earlier 3.1% estimate, rebounding sharply from a 0.5% contraction in the first quarter.

Meanwhile, a legal battle officially began between Federal Reserve Governor Lisa Cook and President Donald Trump, potentially changing what the agency has long maintained — political independence.

Dollar General Corporation ( DG ) reported better-than-expected second-quarter results and raised its FY2025 guidance. Nvidia Corp. ( NVDA ) reported upbeat earnings and sales results for the second quarter after the closing bell on Wednesday.

Most sectors on the S&P 500 closed on a positive note, with energy, information technology and communication services stocks recording the biggest gains on Thursday. However, utilities and consumer staples stocks bucked the overall market trend, closing the session lower.

The Dow Jones closed higher by around 72 points to 45,636.90 on Thursday. The S&P 500 rose 0.32% to 6,501.86, while the Nasdaq Composite gained 0.53% to 21,705.16 during Thursday's session.

Investors are awaiting earnings results from Alibaba Group Holding Ltd. ( BABA ) and BRP Inc. ( DOOO ) today.

What is CNN Business Fear & Greed Index?

At a current reading of 66.3, the index remained in the “Greed” zone on Thursday, versus a prior reading of 64.9.

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.

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