Nasdaq Surges Over 1%: Investor Sentiment Improves, But Greed Index Remains In 'Fear' Zone

The CNN Money Fear and Greed index showed some easing in the overall fear level, while the index remained in the “Fear” zone on Wednesday.
U.S. stocks settled higher on Wednesday, with the Nasdaq Composite gaining more than 1% during the session as traders weighed reports of potential U.S.-Iran diplomatic talks.
The dominant catalyst was a premarket headline from the New York Times suggesting the two sides could pursue diplomatic dialogue.
In earnings, shares of Abercrombie & Fitch Co. (NYSE:ANF) fell around 4% on Wednesday after the company posted earnings for the fourth quarter. Latham Group Inc. (NASDAQ:SWIM) shares jumped 12% after the company reported better-than-expected fourth-quarter financial results and issued FY26 sales guidance above estimates.
On the economic data front, U.S.