Dow Tumbles Over 800 Points On Tariff Concerns: Investor Sentiment Declines, Greed Index Remains In 'Fear' Zone

The CNN Fear and Greed index showed an increase in the overall fear level, while the index remained in the “Fear” zone on Monday.

U.S. stocks settled lower on Monday, with the Dow Jones index dipping more than 800 points during the session on AI-related credit concerns and fresh trade uncertainty.

Over the weekend, Trump said he would raise his new global tariff to 15%, aiming to replace duties ruled illegal by the Supreme Court last week.

On the economic data front, the Chicago Fed National Activity Index surged to +0.18 in January from -0.21 in the previous month, marking its strongest level since February 2025. The Dallas Fed’s manufacturing index jumped to 0.2 in February compared to -1.2 in the previous month.

Major sectors on the S&P 500 closed on a mixed note, with consumer discretionary, financial and industrials stocks recording the biggest losses on Monday. However, consumer staples and health care stocks closed the session higher.

The Dow Jones closed lower by around 822 points to 48,804.06 on Monday. The S&P 500 fell 1.04% to 6,837.75, while the Nasdaq Composite declined 1.13% at 22,627.27 during Monday’s session.

Meanwhile, major indices recorded gains last week, with the Dow adding 0.3% and the S&P 500 gaining 1.1%. The tech-heavy Nasdaq also jumped 1.5% last week.

What Is CNN Business Fear & Greed Index?

At a current reading of 38.4, the index remained in the “Fear” zone on Monday, versus a prior reading of 44.4.

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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