Real-Time Stock Market Fear & Greed Index

Last updated: 03:10 AM

Stock Market Fear & Greed Index

Market sentiment indicator from extreme fear (0) to extreme greed (100).

i
-1 points
S&P 500
6,045.25+0.38%
NASDAQ
19,662.48+0.24%
Dow Jones
429.68+0.24%
📉 The expansion of tariffs on consumer appliances signals increased trade tensions, likely dampening consumer confidence.
💼 Oracle’s AI optimism and stable Treasury auctions bolster tech sector sentiment, supporting market gains.
🔄 The US dollar’s decline suggests potential shifts in global trade dynamics, possibly fueling inflationary pressures long-term.
Source: CNN Fear & Greed Index

Fear & Greed Index Historical Chart Analysis

Visualize the historical correlation between Fear & Greed Index (market sentiment), VIX (volatility index), and S&P 500 performance over time

Fear & Greed Index Distribution

Number of days the market was in each sentiment state

The Fear & Greed Index measures investor sentiment from 0 to 100, helping identify potential market turning points:

  • Extreme Fear (0-25): Often signals investors are too worried, potentially a buying opportunity.
  • Fear (26-40): Indicates significant market concern but not yet extreme.
  • Neutral (41-59): Balanced market sentiment, neither overly fearful nor greedy.
  • Greed (60-75): Shows increasing investor confidence, potentially approaching overvaluation.
  • Extreme Greed (76-100): Suggests investors may be too optimistic, possibly a selling opportunity.

This distribution shows how frequently the market has been in each sentiment state over the selected period, helping identify prevailing market psychology.

VIX Distribution

Market Volatility Index - Number of days in each volatility range

The VIX measures market expectations of near-term volatility conveyed by S&P 500 stock index option prices. Often called the "fear gauge," it reflects investors' perception of risk:

  • Below 15: Low volatility - Market complacency, potentially overconfident conditions.
  • 15-20: Normal volatility - Balanced market conditions with moderate uncertainty.
  • 20-25: Elevated volatility - Growing uncertainty and increasing investor concern.
  • 25-30: High volatility - Significant market concern and risk aversion.
  • Above 30: Extreme volatility - Market fear and potential panic, often coinciding with sharp market declines.

Higher VIX values indicate increased market fear and uncertainty. Historically, extreme VIX readings (above 30) often coincide with market bottoms, potentially presenting buying opportunities for contrarian investors.

Market Correlation Analysis

Extreme points correlation between F&GI, VIX and S&P 500 during the selected period

Extreme Fear Period

When Fear & Greed Index reached its lowest point (4), the VIX was near its highest point and S&P 500 was near its lowest point, showing strong market correlation:

IndexExtreme ValueDateDays from F&G Extreme
Fear & Greed (Low)4Apr 4, 20250
VIX (High)52.34Apr 8, 20254
S&P 500 (Low)4982.77Apr 8, 20254

All extreme points occurred within 5 days of each other, showing strong temporal correlation.

Extreme Greed Period

When Fear & Greed Index reached its highest point (71), the VIX was near its lowest point and S&P 500 was near its highest point, showing strong market correlation:

IndexExtreme ValueDateDays from F&G Extreme
Fear & Greed (High)71May 16, 20250
VIX (Low)16.82Jun 10, 202525
S&P 500 (High)6045.25Jun 12, 202527

Extreme points occurred within 27 days of each other.

The data reveals an important market behavior pattern: correlation between indices is stronger during extreme fear than during extreme greed.

During market panic (extreme fear), the Fear & Greed Index drops sharply while the VIX spikes and the S&P 500 falls - all within a very tight timeframe. This demonstrates how fear spreads rapidly across markets, creating synchronized movements.

In contrast, during periods of extreme greed, the correlation is weaker and more dispersed over time. This asymmetry reflects a well-known behavioral finance principle: "Markets panic together but celebrate separately."

For investors, this asymmetry offers strategic insights: extreme fear periods may provide more reliable signals for contrarian strategies, while extreme greed requires more nuanced analysis across different market segments.

Latest Market News

Recent news and updates about Market from financial media sources.

Stock Market Fear & Greed Index FAQ

Common questions and answers about market sentiment and trading strategies.

The Fear & Greed Index for stocks is a comprehensive sentiment indicator that measures investor emotions by analyzing multiple market factors. It provides insights into whether the market is driven by fear (low prices and overselling) or greed (high prices and overbuying). By tracking this sentiment, investors can identify potential opportunities or risks in the stock market.
The stock market Fear & Greed Index is derived from seven key indicators: market volatility, market momentum, stock price breadth, put/call ratios, junk bond demand, safe haven demand, and market volume. Each indicator is weighted to calculate a score between 0 (Extreme Fear) and 100 (Extreme Greed), reflecting the overall sentiment.
Extreme Fear indicates that investors are highly risk-averse, leading to significant sell-offs in the market. It often reflects panic and overselling, which can create potential buying opportunities for long-term investors.
Fear suggests a cautious market environment where investors are avoiding risk. This sentiment can lead to moderate price declines as confidence remains low but not at panic levels.
Neutral sentiment indicates a balanced market environment where buyers and sellers are in equilibrium. This phase often precedes significant market movements in either direction.
Greed reflects a bullish market where investors are optimistic and taking on more risk. This can lead to rising prices, but excessive greed may indicate overvaluation and the need for caution.
Extreme Greed represents an overheated market driven by speculative buying. While prices may surge, this sentiment often signals that a correction or pullback is imminent.
The index is a contrarian tool that highlights potential buying or selling opportunities. When the index shows Extreme Fear, it suggests the market might be oversold, potentially signaling a good buying opportunity. Conversely, Extreme Greed often correlates with market overbought conditions, indicating caution.
Extreme readings are particularly useful. Historically, a score below 20 (Extreme Fear) has been associated with strong buying opportunities, while a score above 80 (Extreme Greed) suggests reducing exposure or taking profits. Always combine this with other tools like technical analysis and macroeconomic insights for a well-rounded strategy.
Value Investing is a strategy that involves identifying undervalued stocks that are trading below their intrinsic value. Investors using this approach often look for opportunities during periods of Extreme Fear, when market prices may not reflect a company's true worth. The Fear & Greed Index can help value investors identify such opportunities by signaling when the market is overly pessimistic.
Contrarian Investing is a strategy that involves going against prevailing market sentiment. Contrarian investors often buy when others are selling (during Fear) and sell when others are buying excessively (during Greed). The Fear & Greed Index is a valuable tool for contrarian investors, as it highlights periods of extreme market emotions that can lead to mispricing and potential opportunities.
The Fear & Greed Index helps value investors by highlighting periods of Extreme Fear when market sentiment drives stock prices below their intrinsic value. These moments often present buying opportunities for undervalued assets, aligning with the core principles of value investing.
Yes, Contrarian Investing can be risky if not combined with proper analysis. While going against market sentiment can lead to significant rewards, it requires a deep understanding of fundamentals and timing. The Fear & Greed Index can help reduce risk by identifying extreme sentiment levels where market mispricings are most likely.
Value Investing focuses on finding assets trading below their intrinsic value based on fundamentals, regardless of market sentiment. Contrarian Investing, on the other hand, explicitly seeks to go against prevailing sentiment, using tools like the Fear & Greed Index to identify when market emotions are at extremes.
Historical periods of Extreme Fear include the 2008 Financial Crisis, the March 2020 COVID-19 crash, and the 2022 bear market. These moments often preceded significant recoveries, highlighting the importance of taking a long-term perspective during periods of fear.
The index has shown strong correlation with key market events. For instance, during the 2020 market crash, the index dropped to Extreme Fear before a major recovery. Conversely, during the 2021 bull market, it peaked at Extreme Greed, signaling an overheated market.
The index is updated continuously throughout the trading session during the New York Stock Exchange (NYSE) market hours. This ensures it reflects the latest market data and provides real-time insights for traders as the market evolves.
Yes, our platform allows you to customize alerts for different sentiment levels. You can receive real-time notifications whenever the sentiment changes, helping you seize market opportunities as they arise. Whether it's Extreme Fear or Extreme Greed, you'll stay informed and ready to act.

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