US Stock Market Daily Briefing — 2026-08-01

Fear & Greed Index

The current Fear & Greed Index is at 35.54, which remains firmly in the "Fear" zone. The fact that the index remains at this low level on the 0–100 scale suggests that investor sentiment toward the market remains cautious.

Market Summary

• S&P 500: Up 121.83 points, +1.67%
• NASDAQ: Up 679.24 points, +2.78%
• Dow Jones: Up 615.43 points, +1.19%

1 sources

finhacker.cz

Fear and Greed Index: Historical Data & Chart (2011–2026)

Key Market Drivers and Macro Environment

• Microsoft earnings success and AI rebound: Microsoft signaled that massive AI spending is translating into actual revenue growth, silencing market skeptics. These strong tech results sparked a rebound in other AI-linked firms like Lam Research, helping recover some of the losses seen in AI stocks last week.

• Federal Reserve interest rate decision: The Federal Reserve (Fed) decided to keep interest rates unchanged, leading to some temporary market confusion as investors digested the news. However, the hold also served to ease concerns regarding further rate hikes.

• Rising long-term Treasury yields and inflation worries: U.S. Treasury yields hit long-term highs, keeping inflation concerns alive in the bond market. This reflects volatility and a preference for safe-haven assets, which is a primary reason why the Fear & Greed Index remains in the "Fear" zone.

Market Expert Outlook

• Limited near-term upside momentum: While this week’s rebound suggests some near-term momentum, technical weaknesses—such as narrow market breadth—persist. Experts point out that challenges remain on the horizon.

• The importance of restoring AI leadership: While leaders like Microsoft and Lam Research have restored confidence through strong earnings, the weakness in the equal-weight index suggests that the broader market is not yet fully participating in the rally, which is viewed as a negative signal.

• Analyst adjustments for major tech stocks like Meta Platforms: Wall Street analysts are adjusting price targets for key tech stocks, including Meta Platforms, signaling that individual corporate results will face much closer scrutiny moving forward.