Nasdaq Records Worst Session Since June: Investor Sentiment Weakens, Greed Index Moves To ‘Extreme Fear’ Zone
Key takeaways
- Tech stocks and the Nasdaq fell sharply, pushing market sentiment into extreme fear, while labor market data remained solid but mixed.
- Nasdaq Composite fell 2.60% to 26,008.86
- Meta Platforms shares dipped about 7%
- Advanced Micro Devices and Nvidia closed sharply lower
What happened
U.S. stocks fell on Thursday, with the Nasdaq Composite dropping 2.60% to 26,008.86, its worst session since June. Meta Platforms shares slid about 7% after its quarterly earnings, while Advanced Micro Devices and Nvidia also closed sharply lower. Tesla shares fell roughly 3% following its third‑quarter results. The CNN Money Fear & Greed Index fell to 20, entering the “Extreme Fear” zone from a prior 27. Initial jobless claims dropped to 194,000, below the 200,000 consensus, and the…
Why it matters
The sharp sell‑off in tech names and the Nasdaq’s steep decline signal a shift in investor sentiment toward caution, reflected in the Fear & Greed Index’s move to extreme fear. Lower jobless claims suggest labor market resilience, but the mixed economic data may be weighing on risk appetite. The decline in…
Short-term and longer-term
Short-term. Over the next few days, traders should watch for volatility spikes as the Nasdaq and tech names recover or further decline.
Longer-term. For investors, the day’s tech sell‑off and extreme fear index suggest a short‑term reassessment of growth exposure.