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

U.S. stocks settled mostly higher on Thursday, with the Dow Jones index climbing to a new record close following the release of economic data.

U.S. initial jobless claims fell by 19,000 in the week ending Oct. 12. U.S. retail sales rose 0.4% month-over-month in September compared to a 0.1% increase in August and higher than market estimates of a 0.3% rise. The Philadelphia Fed Manufacturing Index climbed to 10.3 in October compared to 1.7 in September and topping market estimates of 3.

Taiwan Semiconductor Manufacturing Company Ltd. ( TSM ) shares jumped around 9.8% on Thursday following better-than-expected third-quarter earnings and strong fourth-quarter guidance

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

The Dow Jones closed higher by around 161 points to 43,239.05 on Thursday. The S&P 500 slipped 0.02% to 5,841.47, while the Nasdaq Composite rose 0.04% at 18,373.61 during Thursday's session.

Investors are awaiting earnings results from American Express Company ( AXP ) , The Procter & Gamble Company ( PG ) , and Schlumberger Limited today.

What is CNN Business Fear & Greed Index?

At a current reading of 71.5, the index remained in the “Greed” zone on Thursday, versus a prior reading of 69.5.

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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