Market temperature (11/17)

The fear and greed index was developed by CNNMoney to measure two of the primary emotions that influence how much investors are willing to pay for stocks.

The fear and greed index is measured on a daily, weekly, monthly, and yearly basis. In theory, the index can be used to gauge whether the stock market is fairly priced. This is based on the logic that excessive fear tends to drive down share prices, and too much greed tends to have the opposite effect.

Fear & Greed Index
What emotion is driving the market?

The S&P 500 is 6.63% above its 125-day average. This is further above the average than has been typical during the last two years and rapid increases like this often indicate extreme greed.

Last changed Oct 27 from a Greed rating.

During the last five trading days, volume in put options has lagged volume in call options by 60.37% as investors make bullish bets in their portfolios. However, this among the lowest levels of put buying seen during the last two years, indicating greed on the part of investors.

Last changed Nov 15 from an Extreme Greed rating.

The number of stocks hitting 52-week highs exceeds the number hitting lows and is at the upper end of its range, indicating greed.

Last changed Nov 5 from a Neutral rating.